diff --git a/tools/ui-components/src/alert/alert.stories.tsx b/tools/ui-components/src/alert/alert.stories.tsx
new file mode 100644
index 0000000000..f0d4c2bad3
--- /dev/null
+++ b/tools/ui-components/src/alert/alert.stories.tsx
@@ -0,0 +1,62 @@
+import { Story } from '@storybook/react';
+import React from 'react';
+import { Alert, AlertProps } from './alert';
+
+const story = {
+  title: 'Example/Alert',
+  component: Alert,
+  argTypes: {
+    children: { control: { type: 'text' } },
+    className: { control: { type: 'text' } },
+    dismissLabel: { control: { type: 'text' } }
+  }
+};
+
+const Template: Story<AlertProps> = args => <Alert {...args} />;
+
+export const Basic = Template.bind({});
+Basic.args = {
+  children: 'Hello, Alert!',
+  className: '',
+  variant: 'success',
+  dismissLabel: 'Close alert',
+  onDismiss: () => console.log('Close alert!')
+};
+
+export const LongText = (): JSX.Element => (
+  <Alert variant='success'>
+    Lorem ipsum dolor sit amet, consectetur adipisicing elit. Amet animi commodi
+    cumque dicta ducimus eum iure, maiores mollitia, odit porro quas quod rerum
+    soluta sunt tempora unde, vel voluptas voluptates.
+  </Alert>
+);
+
+export const WithHeadingAndParagraphs = (): JSX.Element => (
+  <Alert variant='info'>
+    <h4>
+      <strong>Some Heading Text</strong>
+    </h4>
+    <p>
+      Lorem ipsum dolor sit amet, consectetur adipisicing elit. Amet animi
+      commodi cumque dicta ducimus eum iure, maiores mollitia, odit porro quas
+      quod rerum soluta sunt tempora unde, vel voluptas voluptates.
+    </p>
+    <p>
+      Lorem ipsum dolor sit amet, consectetur adipisicing elit. Amet animi
+      commodi cumque dicta ducimus eum iure, maiores mollitia, odit porro quas
+      quod rerum soluta sunt tempora unde, vel voluptas voluptates.
+    </p>
+  </Alert>
+);
+
+export const WithCloseButton = (): JSX.Element => (
+  <Alert onDismiss={() => console.log('Alert closed')} variant='success'>
+    Hello, Alert!
+  </Alert>
+);
+
+export const WithoutCloseButton = (): JSX.Element => (
+  <Alert variant='success'>Hello, Alert without close button!</Alert>
+);
+
+export default story;
diff --git a/tools/ui-components/src/alert/alert.test.tsx b/tools/ui-components/src/alert/alert.test.tsx
new file mode 100644
index 0000000000..66df359e38
--- /dev/null
+++ b/tools/ui-components/src/alert/alert.test.tsx
@@ -0,0 +1,71 @@
+import { render, screen } from '@testing-library/react';
+import userEvent from '@testing-library/user-event';
+import React from 'react';
+import { Alert } from './alert';
+
+describe('<Alert>', () => {
+  it('should have an "alert" role', () => {
+    render(<Alert variant='info'>Hello</Alert>);
+
+    expect(screen.getByRole('alert')).toBeInTheDocument();
+  });
+
+  it('renders children', () => {
+    const expectedText = 'Hello';
+    render(
+      <Alert variant='info'>
+        <p>{expectedText}</p>
+      </Alert>
+    );
+
+    expect(screen.getByText(expectedText)).toBeInTheDocument();
+  });
+
+  it('appends className', () => {
+    const expectedClass = 'basic';
+    render(
+      <Alert className={expectedClass} variant='info'>
+        Hello
+      </Alert>
+    );
+
+    expect(screen.getByRole('alert')).toHaveClass(expectedClass);
+  });
+
+  it(`renders a button when "onDismiss" prop is present, and calls "onDismiss" when the button is clicked`, () => {
+    const onDismiss = jest.fn();
+    render(
+      <Alert onDismiss={onDismiss} variant='info'>
+        Hello
+      </Alert>
+    );
+    const closeButton = screen.getByRole('button');
+
+    expect(screen.getByRole('alert')).toBeInTheDocument();
+    expect(closeButton).toBeInTheDocument();
+
+    userEvent.click(closeButton);
+
+    expect(onDismiss).toHaveBeenCalledTimes(1);
+  });
+
+  it('does NOT render a close button, when "onDismiss" prop is NOT used', () => {
+    render(<Alert variant='info'>Hello</Alert>);
+
+    expect(screen.getByRole('alert')).toBeInTheDocument();
+    expect(screen.queryByRole('button')).not.toBeInTheDocument();
+  });
+
+  it('sets "aria-label" of close button to "dismissText" prop', () => {
+    const expectedLabel = 'custom dismiss alert message';
+    render(
+      <Alert dismissLabel={expectedLabel} onDismiss={jest.fn()} variant='info'>
+        Hello
+      </Alert>
+    );
+
+    expect(
+      screen.getByRole('button', { name: expectedLabel })
+    ).toBeInTheDocument();
+  });
+});
diff --git a/tools/ui-components/src/alert/alert.tsx b/tools/ui-components/src/alert/alert.tsx
new file mode 100644
index 0000000000..9491da0fa2
--- /dev/null
+++ b/tools/ui-components/src/alert/alert.tsx
@@ -0,0 +1,53 @@
+import React from 'react';
+import { CloseButton } from '../close-button';
+
+type AlertVariant = 'success' | 'info' | 'warning' | 'danger';
+
+export interface AlertProps {
+  children: React.ReactNode;
+  className?: string;
+  variant: AlertVariant;
+  dismissLabel?: string;
+  onDismiss?: () => void;
+}
+
+const variantClasses: Record<AlertVariant, string> = {
+  success: 'text-green-700 bg-green-50 border-green-100',
+  info: 'text-blue-700 bg-blue-50 border-blue-100',
+  warning: 'text-yellow-700 bg-yellow-50 border-yellow-100',
+  danger: 'text-red-700 bg-red-50 border-red-100'
+};
+
+/**
+ * Basic UI component that provides contextual feedback
+ */
+export function Alert({
+  children,
+  className,
+  variant,
+  dismissLabel = 'Close',
+  onDismiss
+}: AlertProps): JSX.Element {
+  const isDismissable = !!onDismiss;
+  const variantClass = variantClasses[variant];
+
+  const classes = [
+    'relative p-4 mb-6 border border-transparent break-words',
+    variantClass,
+    isDismissable ? 'pr-10' : '',
+    className
+  ].join(' ');
+
+  return (
+    <div className={classes} role='alert'>
+      {isDismissable && (
+        <CloseButton
+          className='absolute right-4'
+          label={dismissLabel}
+          onClick={onDismiss}
+        />
+      )}
+      {children}
+    </div>
+  );
+}
diff --git a/tools/ui-components/src/alert/index.tsx b/tools/ui-components/src/alert/index.tsx
new file mode 100644
index 0000000000..d0f69c4052
--- /dev/null
+++ b/tools/ui-components/src/alert/index.tsx
@@ -0,0 +1 @@
+export { Alert } from './alert';
diff --git a/tools/ui-components/src/close-button/close-button.stories.tsx b/tools/ui-components/src/close-button/close-button.stories.tsx
new file mode 100644
index 0000000000..bf4fe943e2
--- /dev/null
+++ b/tools/ui-components/src/close-button/close-button.stories.tsx
@@ -0,0 +1,18 @@
+import { Story } from '@storybook/react';
+import React from 'react';
+import { CloseButton, CloseButtonProps } from './close-button';
+
+const story = {
+  title: 'Example/CloseButton',
+  component: CloseButton
+};
+
+const Template: Story<CloseButtonProps> = args => <CloseButton {...args} />;
+
+export const Basic = Template.bind({});
+Basic.args = {
+  className: '',
+  label: ''
+};
+
+export default story;
diff --git a/tools/ui-components/src/close-button/close-button.test.tsx b/tools/ui-components/src/close-button/close-button.test.tsx
new file mode 100644
index 0000000000..79628b8cdf
--- /dev/null
+++ b/tools/ui-components/src/close-button/close-button.test.tsx
@@ -0,0 +1,30 @@
+import { render, screen } from '@testing-library/react';
+import userEvent from '@testing-library/user-event';
+import React from 'react';
+import { CloseButton } from './close-button';
+
+describe('<CloseButton>', () => {
+  it('should render', () => {
+    render(<CloseButton onClick={jest.fn()} />);
+
+    expect(screen.getByRole('button')).toBeInTheDocument();
+  });
+
+  it('should set "aria-label" to "label" prop', () => {
+    const expectedLabel = 'Close me please';
+    render(<CloseButton label={expectedLabel} onClick={jest.fn()} />);
+
+    expect(
+      screen.getByRole('button', { name: expectedLabel })
+    ).toBeInTheDocument();
+  });
+
+  it('should call "onClick" handler on button click', () => {
+    const onClick = jest.fn();
+    render(<CloseButton onClick={onClick} />);
+
+    userEvent.click(screen.getByRole('button'));
+
+    expect(onClick).toHaveBeenCalledTimes(1);
+  });
+});
diff --git a/tools/ui-components/src/close-button/close-button.tsx b/tools/ui-components/src/close-button/close-button.tsx
new file mode 100644
index 0000000000..af92ff8b58
--- /dev/null
+++ b/tools/ui-components/src/close-button/close-button.tsx
@@ -0,0 +1,32 @@
+import React from 'react';
+
+export interface CloseButtonProps {
+  className?: string;
+  label?: string;
+  onClick: () => void;
+}
+
+/**
+ * Basic UI component for closing modals, alerts, etc.
+ */
+export function CloseButton({
+  className,
+  label = 'Close',
+  onClick
+}: CloseButtonProps): JSX.Element {
+  const classes = [
+    'text-xl font-bold leading-none appearance-none opacity-20',
+    'hover:opacity-50 focus:opacity-50',
+    className
+  ].join(' ');
+  return (
+    <button
+      aria-label={label}
+      className={classes}
+      onClick={onClick}
+      type='button'
+    >
+      ×
+    </button>
+  );
+}
diff --git a/tools/ui-components/src/close-button/index.tsx b/tools/ui-components/src/close-button/index.tsx
new file mode 100644
index 0000000000..5a67b959f2
--- /dev/null
+++ b/tools/ui-components/src/close-button/index.tsx
@@ -0,0 +1 @@
+export { CloseButton } from './close-button';
diff --git a/tools/ui-components/src/colors.css b/tools/ui-components/src/colors.css
index b63a2091a3..6be0d3ac95 100644
--- a/tools/ui-components/src/colors.css
+++ b/tools/ui-components/src/colors.css
@@ -13,22 +13,32 @@
   --purple50: #9400d3;
   --purple90: #5a01a7;
 
-  --yellow10: #ffc300;
-  --yellow20: #ffbf00;
+  --yellow05: #fcf8e3;
+  --yellow10: #faebcc;
+  --yellow40: #ffc300;
+  --yellow45: #ffbf00;
   --yellow50: #f1be32;
+  --yellow70: #8a6d3b;
   --yellow90: #4d3800;
 
-  --blue10: rgba(153, 201, 255, 0.3);
-  --blue20: rgba(0, 46, 173, 0.3);
+  --blue05: #d9edf7;
+  --blue10: #bce8f1;
   --blue30: #99c9ff;
   --blue50: #198eee;
+  --blue70: #31708f;
   --blue90: #002ead;
 
-  --green10: #acd157;
+  --green05: #dff0d8;
+  --green10: #d6e9c6;
+  --green40: #acd157;
+  --green70: #3c763d;
   --green90: #00471b;
 
-  --red10: #ffadad;
-  --red20: #f8577c;
+  --red05: #f2dede;
+  --red10: #ebccd1;
+  --red15: #ffadad;
+  --red30: #f8577c;
+  --red70: #a94442;
   --red80: #f82153;
   --red90: #850000;
 }
diff --git a/tools/ui-components/src/index.ts b/tools/ui-components/src/index.ts
index bf3249f81a..e8addc8656 100644
--- a/tools/ui-components/src/index.ts
+++ b/tools/ui-components/src/index.ts
@@ -1,2 +1,3 @@
 // Use this file as the entry point for component export
 export { Button } from './button';
+export { Alert } from './alert';
diff --git a/tools/ui-components/tailwind.config.js b/tools/ui-components/tailwind.config.js
index 0819f142ab..aa0f5d1892 100644
--- a/tools/ui-components/tailwind.config.js
+++ b/tools/ui-components/tailwind.config.js
@@ -3,6 +3,7 @@ module.exports = {
   darkMode: 'class',
   theme: {
     colors: {
+      transparent: 'transparent',
       'dark-theme-background': 'var(--gray90)',
       'light-theme-background': 'var(--gray00)',
       'default-foreground-primary': 'var(--default-foreground-primary)',
@@ -12,11 +13,46 @@ module.exports = {
       'default-background-primary': 'var(--default-background-primary)',
       'default-background-secondary': 'var(--default-background-secondary)',
       'default-background-tertiary': 'var(--default-background-tertiary)',
-      'default-background-quaternary': 'var(--default-background-quaternary)'
+      'default-background-quaternary': 'var(--default-background-quaternary)',
+      green: {
+        50: 'var(--green05)',
+        100: 'var(--green10)',
+        400: 'var(--green40)',
+        700: 'var(--green70)',
+        900: 'var(--green90)'
+      },
+      blue: {
+        50: 'var(--blue05)',
+        100: 'var(--blue10)',
+        300: 'var(--blue30)',
+        500: 'var(--blue50)',
+        700: 'var(--blue70)',
+        900: 'var(--blue90)'
+      },
+      yellow: {
+        50: 'var(--yellow05)',
+        100: 'var(--yellow10)',
+        400: 'var(--yellow40)',
+        450: 'var(--yellow45)',
+        500: 'var(--yellow50)',
+        700: 'var(--yellow70)',
+        900: 'var(--yellow90)'
+      },
+      red: {
+        50: 'var(--red05)',
+        100: 'var(--red10)',
+        150: 'var(--red15)',
+        300: 'var(--red30)',
+        700: 'var(--red70)',
+        800: 'var(--red80)',
+        900: 'var(--red90)'
+      }
     }
   },
   variants: {
-    extend: {}
+    extend: {
+      opacity: ['hover', 'focus']
+    }
   },
   plugins: []
 };