diff --git a/Makefile b/Makefile
index 5dded97481..86a5eddf80 100644
--- a/Makefile
+++ b/Makefile
@@ -69,13 +69,9 @@ help:  ## Display this help
 ## --------------------------------------
 
 .PHONY: test
-test: test-tools ## Run the script check-everything.sh which will check all.
+test: ## Run the script check-everything.sh which will check all.
 	TRACE=1 ./hack/check-everything.sh
 
-.PHONY: test-tools
-test-tools: ## tests the tools codebase (setup-envtest)
-	cd tools/setup-envtest && go test ./...
-
 ## --------------------------------------
 ## Binaries
 ## --------------------------------------
diff --git a/hack/test-all.sh b/hack/test-all.sh
index 34d841cfd0..9363fa5963 100755
--- a/hack/test-all.sh
+++ b/hack/test-all.sh
@@ -26,6 +26,7 @@ fi
 
 result=0
 go test -v -race ${P_FLAG} ${MOD_OPT} ./... --ginkgo.fail-fast ${GINKGO_ARGS} || result=$?
+(cd tools/setup-envtest && go test -v -race ${P_FLAG} ${MOD_OPT} ./... --ginkgo.fail-fast ${GINKGO_ARGS}) || result=$?
 
 if [[ -n ${ARTIFACTS:-} ]]; then
   mkdir -p ${ARTIFACTS}
diff --git a/tools/setup-envtest/remote/http_client.go b/tools/setup-envtest/remote/http_client.go
index a87ef1f105..7cbe3ee1d4 100644
--- a/tools/setup-envtest/remote/http_client.go
+++ b/tools/setup-envtest/remote/http_client.go
@@ -88,7 +88,7 @@ func (c *HTTPClient) ListVersions(ctx context.Context) ([]versions.Set, error) {
 	}
 	// sort in inverse order so that the newest one is first
 	slices.SortStableFunc(res, func(i, j versions.Set) int {
-		return i.Version.Compare(j.Version)
+		return j.Version.Compare(i.Version)
 	})
 
 	return res, nil
diff --git a/tools/setup-envtest/store/store.go b/tools/setup-envtest/store/store.go
index 1e1d4beb3c..1e8053e0cc 100644
--- a/tools/setup-envtest/store/store.go
+++ b/tools/setup-envtest/store/store.go
@@ -105,7 +105,8 @@ func (s *Store) List(ctx context.Context, matching Filter) ([]Item, error) {
 
 	slices.SortStableFunc(res, func(i, j Item) int {
 		if !i.Version.Matches(j.Version) {
-			return i.Version.Compare(j.Version)
+			// sort in inverse order so that the newest one is first
+			return j.Version.Compare(i.Version)
 		}
 		return orderPlatforms(i.Platform, j.Platform)
 	})
diff --git a/tools/setup-envtest/versions/misc_test.go b/tools/setup-envtest/versions/misc_test.go
index 1c0dbb68db..187218f82e 100644
--- a/tools/setup-envtest/versions/misc_test.go
+++ b/tools/setup-envtest/versions/misc_test.go
@@ -17,6 +17,9 @@ limitations under the License.
 package versions_test
 
 import (
+	"math/rand/v2"
+	"slices"
+
 	. "github.com/onsi/ginkgo/v2"
 	. "github.com/onsi/gomega"
 
@@ -44,6 +47,23 @@ var _ = Describe("Concrete", func() {
 		Specify("newer major should be newer", func() {
 			Expect(ver1163.Compare(Concrete{Major: 0, Minor: 16, Patch: 3})).To(Equal(1))
 		})
+
+		Describe("sorting", func() {
+			ver16 := Concrete{Major: 1, Minor: 16}
+			ver17 := Concrete{Major: 1, Minor: 17}
+			many := []Concrete{ver16, ver17, ver1163}
+
+			BeforeEach(func() {
+				rand.Shuffle(len(many), func(i, j int) {
+					many[i], many[j] = many[j], many[i]
+				})
+			})
+
+			Specify("newer versions are later", func() {
+				slices.SortStableFunc(many, Concrete.Compare)
+				Expect(many).To(Equal([]Concrete{ver16, ver1163, ver17}))
+			})
+		})
 	})
 })