diff --git a/autotest/gdrivers/data/vrt/processed_OutputBands_FROM_LAST_STEP.vrt b/autotest/gdrivers/data/vrt/processed_OutputBands_FROM_LAST_STEP.vrt
index 0f68c6c8e697..c8284f55c73b 100644
--- a/autotest/gdrivers/data/vrt/processed_OutputBands_FROM_LAST_STEP.vrt
+++ b/autotest/gdrivers/data/vrt/processed_OutputBands_FROM_LAST_STEP.vrt
@@ -1,5 +1,5 @@
 <VRTDataset subClass="VRTProcessedDataset">
-  <Input>
+  <Input unscale="AUTO">
     <SourceFilename relativeToVRT="1">../byte.tif</SourceFilename>
   </Input>
   <OutputBands count="FROM_LAST_STEP" dataType="FROM_LAST_STEP"/>
diff --git a/autotest/gdrivers/vrtprocesseddataset.py b/autotest/gdrivers/vrtprocesseddataset.py
index 633f2158a654..cf6c5f038351 100755
--- a/autotest/gdrivers/vrtprocesseddataset.py
+++ b/autotest/gdrivers/vrtprocesseddataset.py
@@ -10,18 +10,22 @@
 # SPDX-License-Identifier: MIT
 ###############################################################################
 
+import os
+
 import gdaltest
 import pytest
 
 from osgeo import gdal
 
+from .vrtderived import _validate
+
 pytestmark = pytest.mark.skipif(
     not gdaltest.vrt_has_open_support(),
     reason="VRT driver open missing",
 )
 
 np = pytest.importorskip("numpy")
-pytest.importorskip("osgeo.gdal_array")
+gdal_array = pytest.importorskip("osgeo.gdal_array")
 
 ###############################################################################
 # Test error cases in general VRTProcessedDataset XML structure
@@ -73,6 +77,16 @@ def test_vrtprocesseddataset_errors(tmp_vsimem):
     src_ds.GetRasterBand(3).Fill(3)
     src_ds.Close()
 
+    with pytest.raises(Exception, match="Invalid value of 'unscale'"):
+        gdal.Open(
+            f"""<VRTDataset subclass='VRTProcessedDataset'>
+        <Input unscale="maybe">
+            <SourceFilename>{src_filename}</SourceFilename>
+        </Input>
+        </VRTDataset>
+            """
+        )
+
     with pytest.raises(Exception, match="ProcessingSteps element missing"):
         gdal.Open(
             f"""<VRTDataset subclass='VRTProcessedDataset'>
@@ -1216,7 +1230,7 @@ def test_vrtprocesseddataset_serialize(tmp_vsimem):
     vrt_filename = str(tmp_vsimem / "the.vrt")
     content = f"""<VRTDataset subclass='VRTProcessedDataset'>
     <VRTRasterBand subClass='VRTProcessedRasterBand' dataType='Byte'/>
-    <Input>
+    <Input unscale="true">
         <SourceFilename>{src_filename}</SourceFilename>
     </Input>
     <ProcessingSteps>
@@ -1517,3 +1531,120 @@ def test_vrtprocesseddataset_RasterIO(tmp_vsimem):
         assert ds.GetRasterBand(1).GetBlockSize() == [1, 1]
         with pytest.raises(Exception):
             ds.ReadAsArray()
+
+
+###############################################################################
+# Validate processed datasets according to xsd
+
+
+@pytest.mark.parametrize(
+    "fname",
+    [
+        f
+        for f in os.listdir(os.path.join(os.path.dirname(__file__), "data/vrt"))
+        if f.startswith("processed")
+    ],
+)
+def test_vrt_processeddataset_validate(fname):
+    with open(os.path.join("data/vrt", fname)) as f:
+        _validate(f.read())
+
+
+###############################################################################
+# Test reading input datasets with scale and offset
+
+
+@pytest.mark.parametrize(
+    "input_scaled", (True, False), ids=lambda x: f"input scaled={x}"
+)
+@pytest.mark.parametrize("unscale", (True, False, "auto"), ids=lambda x: f"unscale={x}")
+@pytest.mark.parametrize(
+    "dtype", (gdal.GDT_Int16, gdal.GDT_Float32), ids=gdal.GetDataTypeName
+)
+def test_vrtprocesseddataset_scaled_inputs(tmp_vsimem, input_scaled, dtype, unscale):
+
+    src_filename = tmp_vsimem / "src.tif"
+
+    nx = 2
+    ny = 3
+    nz = 2
+
+    if dtype == gdal.GDT_Float32:
+        nodata = float("nan")
+    else:
+        nodata = 99
+
+    np_type = gdal_array.GDALTypeCodeToNumericTypeCode(dtype)
+
+    data = np.arange(nx * ny * nz, dtype=np_type).reshape(nz, ny, nx)
+    data[:, 2, 1] = nodata
+
+    if input_scaled:
+        offsets = [i + 2 for i in range(nz)]
+        scales = [(i + 1) / 4 for i in range(nz)]
+    else:
+        offsets = [0 for i in range(nz)]
+        scales = [1 for i in range(nz)]
+
+    with gdal.GetDriverByName("GTiff").Create(
+        src_filename, nx, ny, nz, eType=dtype
+    ) as src_ds:
+        src_ds.WriteArray(data)
+        for i in range(src_ds.RasterCount):
+            bnd = src_ds.GetRasterBand(i + 1)
+            bnd.SetOffset(offsets[i])
+            bnd.SetScale(scales[i])
+            bnd.SetNoDataValue(nodata)
+
+    ds = gdal.Open(
+        f"""
+    <VRTDataset subclass='VRTProcessedDataset'>
+    <Input unscale="{unscale}">
+        <SourceFilename>{src_filename}</SourceFilename>
+    </Input>
+    <ProcessingSteps>
+        <Step>
+            <Algorithm>BandAffineCombination</Algorithm>
+            <Argument name="coefficients_1">0,1,0</Argument>
+            <Argument name="coefficients_2">0,0,1</Argument>
+        </Step>
+    </ProcessingSteps>
+    </VRTDataset>"""
+    )
+
+    assert ds.RasterCount == nz
+
+    if unscale is True or (unscale == "auto" and input_scaled):
+        for i in range(ds.RasterCount):
+            bnd = ds.GetRasterBand(i + 1)
+            assert bnd.DataType == gdal.GDT_Float64
+            assert bnd.GetScale() in (None, 1)
+            assert bnd.GetOffset() in (None, 0)
+    else:
+        for i in range(ds.RasterCount):
+            bnd = ds.GetRasterBand(i + 1)
+            assert bnd.DataType == dtype
+            assert bnd.GetScale() == scales[i]
+            assert bnd.GetOffset() == offsets[i]
+            assert (
+                np.isnan(bnd.GetNoDataValue())
+                if np.isnan(nodata)
+                else bnd.GetNoDataValue() == nodata
+            )
+
+    result = np.ma.stack(
+        [ds.GetRasterBand(i + 1).ReadAsMaskedArray() for i in range(ds.RasterCount)]
+    )
+
+    if unscale:
+        expected = np.ma.masked_array(
+            np.stack([data[i, :, :] * scales[i] + offsets[i] for i in range(nz)]),
+            np.isnan(data) if np.isnan(nodata) else data == nodata,
+        )
+    else:
+        expected = np.ma.masked_array(
+            data, np.isnan(data) if np.isnan(nodata) else data == nodata
+        )
+
+    np.testing.assert_array_equal(result.mask, expected.mask)
+    np.testing.assert_array_equal(result[~result.mask], expected[~expected.mask])
diff --git a/doc/source/drivers/raster/vrt_processed_dataset.rst b/doc/source/drivers/raster/vrt_processed_dataset.rst
index 28f001904af7..b3383126763b 100644
--- a/doc/source/drivers/raster/vrt_processed_dataset.rst
+++ b/doc/source/drivers/raster/vrt_processed_dataset.rst
@@ -121,7 +121,7 @@ The following child elements of ``VRTDataset`` may be defined: ``SRS``, ``GeoTra
 
 The ``VRTDataset`` root element must also have the 2 following child elements:
 
-- ``Input``, which must have one and only one of the following ``SourceFilename`` or ``VRTDataset`` as child elements, to define the input dataset to which to apply the processing steps.
+- ``Input``, which must have one and only one of the following ``SourceFilename`` or ``VRTDataset`` as child elements, to define the input dataset to which to apply the processing steps. Starting with GDAL 3.11, values from the input dataset will be automatically unscaled; this can be disabled by setting the ``unscale`` attribute of ``Input`` to ``false``.
 
 - ``ProcessingSteps``, with at least one child ``Step`` element.
 
diff --git a/frmts/vrt/data/gdalvrt.xsd b/frmts/vrt/data/gdalvrt.xsd
index ad9d0aa63902..6cc250615091 100644
--- a/frmts/vrt/data/gdalvrt.xsd
+++ b/frmts/vrt/data/gdalvrt.xsd
@@ -198,6 +198,16 @@
                 <xs:element name="VRTDataset" type="VRTDatasetType"/>
             </xs:choice>
         </xs:sequence>
+        <xs:attribute name="unscale" type="xs:string"> <!-- added in GDAL 3.11 -->
+            <xs:annotation>
+                <xs:documentation>
+                    YES, NO, or AUTO.
+                    If not specified, AUTO is the default and will result in
+                    unscaling all input bands to Float64 if any input band has
+                    a defined scale/offset.
+                </xs:documentation>
+            </xs:annotation>
+        </xs:attribute>
     </xs:complexType>
 
     <xs:complexType name="OutputBandsType">
@@ -249,7 +259,7 @@
             <xs:extension base="xs:string">
                 <xs:attribute name="name" type="xs:string" use="required">
                     <xs:annotation>
-                        <xs:documentation>Allowed names are specific of each processing function</xs:documentation>
+                        <xs:documentation>Allowed names are specific to each processing function</xs:documentation>
                     </xs:annotation>
                 </xs:attribute>
             </xs:extension>
diff --git a/frmts/vrt/vrtdataset.h b/frmts/vrt/vrtdataset.h
index 50fbac8e0a46..aa6852b6b80c 100644
--- a/frmts/vrt/vrtdataset.h
+++ b/frmts/vrt/vrtdataset.h
@@ -724,6 +724,9 @@ class VRTProcessedDataset final : public VRTDataset
     //! Directory of the VRT
     std::string m_osVRTPath{};
 
+    //! Source of source dataset generated with GDALTranslate
+    std::unique_ptr<GDALDataset> m_poVRTSrcDS{};
+
     //! Source dataset
     std::unique_ptr<GDALDataset> m_poSrcDS{};
 
diff --git a/frmts/vrt/vrtprocesseddataset.cpp b/frmts/vrt/vrtprocesseddataset.cpp
index 318da09023aa..ce84a6ac5c57 100644
--- a/frmts/vrt/vrtprocesseddataset.cpp
+++ b/frmts/vrt/vrtprocesseddataset.cpp
@@ -12,6 +12,7 @@
 
 #include "cpl_minixml.h"
 #include "cpl_string.h"
+#include "gdal_utils.h"
 #include "vrtdataset.h"
 
 #include <algorithm>
@@ -206,6 +207,27 @@ CPLErr VRTProcessedDataset::XMLInit(const CPLXMLNode *psTree,
     return CE_None;
 }
 
+static bool HasScaleOffset(GDALDataset &oSrcDS)
+{
+    for (int i = 1; i <= oSrcDS.GetRasterCount(); i++)
+    {
+        int pbSuccess;
+        GDALRasterBand &oBand = *oSrcDS.GetRasterBand(i);
+        double scale = oBand.GetScale(&pbSuccess);
+        if (pbSuccess && scale != 1)
+        {
+            return true;
+        }
+        double offset = oBand.GetOffset(&pbSuccess);
+        if (pbSuccess && offset != 0)
+        {
+            return true;
+        }
+    }
+
+    return false;
+}
+
 /** Instantiate object from XML tree */
 CPLErr VRTProcessedDataset::Init(const CPLXMLNode *psTree,
                                  const char *pszVRTPathIn,
@@ -260,6 +282,53 @@ CPLErr VRTProcessedDataset::Init(const CPLXMLNode *psTree,
     if (!m_poSrcDS)
         return CE_Failure;
 
+    const char *pszUnscale = CPLGetXMLValue(psInput, "unscale", "AUTO");
+    bool bUnscale = false;
+    if (EQUAL(pszUnscale, "AUTO"))
+    {
+        if (HasScaleOffset(*m_poSrcDS))
+        {
+            bUnscale = true;
+        }
+    }
+    else if (EQUAL(pszUnscale, "YES") || EQUAL(pszUnscale, "ON") ||
+             EQUAL(pszUnscale, "TRUE") || EQUAL(pszUnscale, "1"))
+    {
+        bUnscale = true;
+    }
+    else if (!(EQUAL(pszUnscale, "NO") || EQUAL(pszUnscale, "OFF") ||
+               EQUAL(pszUnscale, "FALSE") || EQUAL(pszUnscale, "0")))
+    {
+        CPLError(CE_Failure, CPLE_AppDefined, "Invalid value of 'unscale'");
+        return CE_Failure;
+    }
+
+    if (bUnscale)
+    {
+        CPLStringList oArgs;
+        oArgs.AddString("-unscale");
+        oArgs.AddString("-ot");
+        oArgs.AddString("Float64");
+        oArgs.AddString("-of");
+        oArgs.AddString("VRT");
+        oArgs.AddString("-a_nodata");
+        oArgs.AddString("nan");
+        auto *poArgs = GDALTranslateOptionsNew(oArgs.List(), nullptr);
+        int pbUsageError;
+        CPLAssert(poArgs);
+        m_poVRTSrcDS.reset(m_poSrcDS.release());
+        // https://trac.cppcheck.net/ticket/11325
+        // cppcheck-suppress accessMoved
+        m_poSrcDS.reset(GDALDataset::FromHandle(
+            GDALTranslate("", m_poVRTSrcDS.get(), poArgs, &pbUsageError)));
+        GDALTranslateOptionsFree(poArgs);
+
+        if (pbUsageError || !m_poSrcDS)
+        {
+            return CE_Failure;
+        }
+    }
+
     if (nRasterXSize == 0 && nRasterYSize == 0)
     {
         nRasterXSize = m_poSrcDS->GetRasterXSize();