diff --git a/test/envtest/reconciler_setupwithmanager_test.go b/test/envtest/reconciler_setupwithmanager_test.go
index c6f46497f..f47a2391a 100644
--- a/test/envtest/reconciler_setupwithmanager_test.go
+++ b/test/envtest/reconciler_setupwithmanager_test.go
@@ -10,6 +10,7 @@ import (
 	corev1 "k8s.io/api/core/v1"
 	metav1 "k8s.io/apimachinery/pkg/apis/meta/v1"
 	k8stypes "k8s.io/apimachinery/pkg/types"
+	"k8s.io/client-go/rest"
 	ctrl "sigs.k8s.io/controller-runtime"
 	"sigs.k8s.io/controller-runtime/pkg/client"
 	metricsserver "sigs.k8s.io/controller-runtime/pkg/metrics/server"
@@ -27,34 +28,31 @@ import (
 )
 
 func TestNewKonnectEntityReconciler(t *testing.T) {
-	testNewKonnectEntityReconciler(t, konnectv1alpha1.KonnectGatewayControlPlane{}, konnectGatewayControlPlaneTestCases)
-	testNewKonnectEntityReconciler(t, configurationv1alpha1.KongService{}, nil)
-	testNewKonnectEntityReconciler(t, configurationv1.KongConsumer{}, nil)
-	testNewKonnectEntityReconciler(t, configurationv1alpha1.KongRoute{}, nil)
-	testNewKonnectEntityReconciler(t, configurationv1beta1.KongConsumerGroup{}, nil)
-	testNewKonnectEntityReconciler(t, configurationv1alpha1.KongPluginBinding{}, nil)
+	// Setup up the envtest environment and share it across the test cases.
+	cfg := Setup(t, scheme.Get())
+
+	testNewKonnectEntityReconciler(t, cfg, konnectv1alpha1.KonnectGatewayControlPlane{}, konnectGatewayControlPlaneTestCases)
+	testNewKonnectEntityReconciler(t, cfg, configurationv1alpha1.KongService{}, nil)
+	testNewKonnectEntityReconciler(t, cfg, configurationv1.KongConsumer{}, nil)
+	testNewKonnectEntityReconciler(t, cfg, configurationv1alpha1.KongRoute{}, nil)
+	testNewKonnectEntityReconciler(t, cfg, configurationv1beta1.KongConsumerGroup{}, nil)
+	testNewKonnectEntityReconciler(t, cfg, configurationv1alpha1.KongPluginBinding{}, nil)
 }
 
-const (
-	testNamespaceName   = "test"
-	envTestWaitDuration = time.Second
-	envTestWaitTick     = 20 * time.Millisecond
-)
-
 type konnectEntityReconcilerTestCase struct {
 	name                string
-	objectOps           func(ctx context.Context, t *testing.T, cl client.Client)
-	eventuallyPredicate func(ctx context.Context, t *testing.T, cl client.Client) bool
+	objectOps           func(ctx context.Context, t *testing.T, cl client.Client, ns *corev1.Namespace)
+	eventuallyPredicate func(ctx context.Context, t *testing.T, cl client.Client, ns *corev1.Namespace) bool
 }
 
 var konnectGatewayControlPlaneTestCases = []konnectEntityReconcilerTestCase{
 	{
 		name: "should resolve auth",
-		objectOps: func(ctx context.Context, t *testing.T, cl client.Client) {
+		objectOps: func(ctx context.Context, t *testing.T, cl client.Client, ns *corev1.Namespace) {
 			auth := &konnectv1alpha1.KonnectAPIAuthConfiguration{
 				ObjectMeta: metav1.ObjectMeta{
 					Name:      "auth",
-					Namespace: testNamespaceName,
+					Namespace: ns.Name,
 				},
 				Spec: konnectv1alpha1.KonnectAPIAuthConfigurationSpec{
 					Type:  konnectv1alpha1.KonnectAPIAuthTypeToken,
@@ -65,7 +63,7 @@ var konnectGatewayControlPlaneTestCases = []konnectEntityReconcilerTestCase{
 			cp := &konnectv1alpha1.KonnectGatewayControlPlane{
 				ObjectMeta: metav1.ObjectMeta{
 					Name:      "cp-1",
-					Namespace: testNamespaceName,
+					Namespace: ns.Name,
 				},
 				Spec: konnectv1alpha1.KonnectGatewayControlPlaneSpec{
 					KonnectConfiguration: konnectv1alpha1.KonnectConfiguration{
@@ -77,10 +75,17 @@ var konnectGatewayControlPlaneTestCases = []konnectEntityReconcilerTestCase{
 			}
 			require.NoError(t, cl.Create(ctx, cp))
 		},
-		eventuallyPredicate: func(ctx context.Context, t *testing.T, cl client.Client) bool {
+		eventuallyPredicate: func(ctx context.Context, t *testing.T, cl client.Client, ns *corev1.Namespace) bool {
 			cp := &konnectv1alpha1.KonnectGatewayControlPlane{}
-			err := cl.Get(ctx, k8stypes.NamespacedName{Namespace: testNamespaceName, Name: "cp-1"}, cp)
-			require.NoError(t, err)
+			require.NoError(t,
+				cl.Get(ctx,
+					k8stypes.NamespacedName{
+						Namespace: ns.Name,
+						Name:      "cp-1",
+					},
+					cp,
+				),
+			)
 			// TODO: setup mock Konnect SDK and verify that Konnect CP is "Created".
 			return lo.ContainsBy(cp.Status.Conditions, func(condition metav1.Condition) bool {
 				return condition.Type == conditions.KonnectEntityAPIAuthConfigurationResolvedRefConditionType && condition.Status == metav1.ConditionTrue
@@ -89,27 +94,28 @@ var konnectGatewayControlPlaneTestCases = []konnectEntityReconcilerTestCase{
 	},
 }
 
+// testNewKonnectEntityReconciler is a helper function to test Konnect entity reconcilers.
+// It creates a new namespace for each test case and starts a new controller manager.
+// The provided rest.Config designates the Kubernetes API server to use for the tests.
 func testNewKonnectEntityReconciler[
 	T constraints.SupportedKonnectEntityType,
 	TEnt constraints.EntityType[T],
 ](
 	t *testing.T,
+	cfg *rest.Config,
 	ent T,
 	testCases []konnectEntityReconcilerTestCase,
 ) {
 	t.Helper()
 
-	sdkFactory := &ops.MockSDKFactory{}
-
 	t.Run(ent.GetTypeName(), func(t *testing.T) {
-		s := scheme.Get()
-		cfg := Setup(t, s)
+		t.Parallel()
 
 		ctx, cancel := context.WithCancel(context.Background())
 		defer cancel()
 
 		mgr, err := ctrl.NewManager(cfg, ctrl.Options{
-			Scheme: s,
+			Scheme: scheme.Get(),
 			Metrics: metricsserver.Options{
 				// We do not need metrics server so we set BindAddress to 0 to disable it.
 				BindAddress: "0",
@@ -118,15 +124,15 @@ func testNewKonnectEntityReconciler[
 		require.NoError(t, err)
 
 		cl := mgr.GetClient()
-		reconciler := konnect.NewKonnectEntityReconciler[T, TEnt](sdkFactory, false, cl)
+		reconciler := konnect.NewKonnectEntityReconciler[T, TEnt](&ops.MockSDKFactory{}, false, cl)
 		require.NoError(t, reconciler.SetupWithManager(ctx, mgr))
 
-		err = cl.Create(context.Background(), &corev1.Namespace{
+		ns := &corev1.Namespace{
 			ObjectMeta: metav1.ObjectMeta{
-				Name: "test",
+				GenerateName: "test-",
 			},
-		})
-		require.NoError(t, err)
+		}
+		require.NoError(t, cl.Create(ctx, ns))
 
 		t.Logf("Starting manager for test case %s", t.Name())
 		go func() {
@@ -134,12 +140,17 @@ func testNewKonnectEntityReconciler[
 			require.NoError(t, err)
 		}()
 
+		const (
+			wait = time.Second
+			tick = 20 * time.Millisecond
+		)
+
 		for _, tc := range testCases {
 			t.Run(tc.name, func(t *testing.T) {
-				tc.objectOps(ctx, t, cl)
+				tc.objectOps(ctx, t, cl, ns)
 				require.Eventually(t, func() bool {
-					return tc.eventuallyPredicate(ctx, t, cl)
-				}, envTestWaitDuration, envTestWaitTick)
+					return tc.eventuallyPredicate(ctx, t, cl, ns)
+				}, wait, tick)
 			})
 		}
 	})