diff --git a/packages/core/package.json b/packages/core/package.json
index 1c11c79f53..ad3afd84a3 100644
--- a/packages/core/package.json
+++ b/packages/core/package.json
@@ -42,7 +42,7 @@
   },
   "devDependencies": {
     "@backstage/cli": "^0.1.1-alpha.3",
-    "@backstage/test-utils": "^0.1.1-alpha.3",
+    "@backstage/test-utils-core": "^0.1.1-alpha.3",
     "@backstage/theme": "^0.1.1-alpha.3",
     "@storybook/addon-storysource": "^5.3.18",
     "@testing-library/jest-dom": "^4.2.4",
diff --git a/packages/core/src/api/apis/ApiProvider.test.tsx b/packages/core/src/api/apis/ApiProvider.test.tsx
index 5734899f68..f572907c2f 100644
--- a/packages/core/src/api/apis/ApiProvider.test.tsx
+++ b/packages/core/src/api/apis/ApiProvider.test.tsx
@@ -19,7 +19,7 @@ import ApiProvider, { useApi, withApis } from './ApiProvider';
 import ApiRef from './ApiRef';
 import ApiRegistry from './ApiRegistry';
 import { render } from '@testing-library/react';
-import { withLogCollector } from '@backstage/test-utils';
+import { withLogCollector } from '@backstage/test-utils-core';
 
 describe('ApiProvider', () => {
   type Api = () => string;
diff --git a/packages/test-utils-core/.npmrc b/packages/test-utils-core/.npmrc
new file mode 100644
index 0000000000..214c29d139
--- /dev/null
+++ b/packages/test-utils-core/.npmrc
@@ -0,0 +1 @@
+registry=https://registry.npmjs.org/
diff --git a/packages/test-utils-core/README.md b/packages/test-utils-core/README.md
new file mode 100644
index 0000000000..b99250857d
--- /dev/null
+++ b/packages/test-utils-core/README.md
@@ -0,0 +1,15 @@
+# @backstage/test-utils-core
+
+This package provides utilities for testing the Backstage core packages.
+
+## Installation
+
+This package should not be used directly, use `@backstage/test-utils` instead. All exports from this
+package are re-exported by `@backstage/test-utils`.
+
+The reason this package exists is to allow the Backstage core packages to use the testing utils exposed in this package. Since `@backstage/test-utils` needs to depend on `@backstage/core`, core is not able to use those test-utils. We put any test-utils that don't need to depend on other Backstage packages in this package, in order for them to be usable by any other `@backstage` packages.
+
+## Documentation
+
+- [Backstage Readme](https://github.com/spotify/backstage/blob/master/README.md)
+- [Backstage Documentation](https://github.com/spotify/backstage/blob/master/docs/README.md)
diff --git a/packages/test-utils-core/package.json b/packages/test-utils-core/package.json
new file mode 100644
index 0000000000..79d36a3525
--- /dev/null
+++ b/packages/test-utils-core/package.json
@@ -0,0 +1,34 @@
+{
+  "name": "@backstage/test-utils-core",
+  "description": "Utilities to test Backstage core",
+  "version": "0.1.1-alpha.3",
+  "private": false,
+  "publishConfig": {
+    "access": "public"
+  },
+  "homepage": "https://backstage.io",
+  "repository": {
+    "type": "git",
+    "url": "https://github.com/spotify/backstage",
+    "directory": "packages/test-utils-core"
+  },
+  "keywords": [
+    "backstage"
+  ],
+  "license": "Apache-2.0",
+  "main": "dist/index.cjs.js",
+  "types": "dist/index.d.ts",
+  "scripts": {
+    "build": "backstage-cli plugin:build",
+    "lint": "backstage-cli lint",
+    "test": "backstage-cli test"
+  },
+  "dependencies": {
+    "@testing-library/jest-dom": "^4.2.4",
+    "@testing-library/react": "^9.3.2",
+    "@types/jest": "^24.0.0",
+    "@types/node": "^12.0.0",
+    "react": "^16.12.0",
+    "react-dom": "^16.12.0"
+  }
+}
diff --git a/packages/test-utils-core/src/index.ts b/packages/test-utils-core/src/index.ts
new file mode 100644
index 0000000000..43faf28a4a
--- /dev/null
+++ b/packages/test-utils-core/src/index.ts
@@ -0,0 +1,16 @@
+/*
+ * Copyright 2020 Spotify AB
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *     http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+export * from './testUtils';
diff --git a/packages/test-utils-core/src/setupTests.ts b/packages/test-utils-core/src/setupTests.ts
new file mode 100644
index 0000000000..8925258421
--- /dev/null
+++ b/packages/test-utils-core/src/setupTests.ts
@@ -0,0 +1,17 @@
+/*
+ * Copyright 2020 Spotify AB
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *     http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+
+import '@testing-library/jest-dom/extend-expect';
diff --git a/packages/test-utils/src/testUtils/Keyboard.js b/packages/test-utils-core/src/testUtils/Keyboard.js
similarity index 99%
rename from packages/test-utils/src/testUtils/Keyboard.js
rename to packages/test-utils-core/src/testUtils/Keyboard.js
index e3225f2342..8f4a48b0b4 100644
--- a/packages/test-utils/src/testUtils/Keyboard.js
+++ b/packages/test-utils-core/src/testUtils/Keyboard.js
@@ -23,7 +23,7 @@ const codes = {
   Esc: 27,
 };
 
-export default class Keyboard {
+export class Keyboard {
   static async type(target, input) {
     await new Keyboard(target).type(input);
   }
diff --git a/packages/test-utils/src/testUtils/Keyboard.test.js b/packages/test-utils-core/src/testUtils/Keyboard.test.js
similarity index 98%
rename from packages/test-utils/src/testUtils/Keyboard.test.js
rename to packages/test-utils-core/src/testUtils/Keyboard.test.js
index 31e0885dc1..48b8522c0c 100644
--- a/packages/test-utils/src/testUtils/Keyboard.test.js
+++ b/packages/test-utils-core/src/testUtils/Keyboard.test.js
@@ -15,7 +15,7 @@
  */
 
 import React from 'react';
-import Keyboard from './Keyboard';
+import { Keyboard } from './Keyboard';
 import { render } from '@testing-library/react';
 
 describe('testUtils.Keyboard', () => {
diff --git a/packages/test-utils-core/src/testUtils/index.tsx b/packages/test-utils-core/src/testUtils/index.tsx
new file mode 100644
index 0000000000..7558f32819
--- /dev/null
+++ b/packages/test-utils-core/src/testUtils/index.tsx
@@ -0,0 +1,19 @@
+/*
+ * Copyright 2020 Spotify AB
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *     http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+
+export * from './Keyboard';
+export * from './logCollector';
+export * from './testingLibrary';
diff --git a/packages/test-utils/src/testUtils/logCollector.test.ts b/packages/test-utils-core/src/testUtils/logCollector.test.ts
similarity index 100%
rename from packages/test-utils/src/testUtils/logCollector.test.ts
rename to packages/test-utils-core/src/testUtils/logCollector.test.ts
diff --git a/packages/test-utils/src/testUtils/logCollector.ts b/packages/test-utils-core/src/testUtils/logCollector.ts
similarity index 100%
rename from packages/test-utils/src/testUtils/logCollector.ts
rename to packages/test-utils-core/src/testUtils/logCollector.ts
diff --git a/packages/test-utils/src/testUtils/testingLibrary.ts b/packages/test-utils-core/src/testUtils/testingLibrary.ts
similarity index 100%
rename from packages/test-utils/src/testUtils/testingLibrary.ts
rename to packages/test-utils-core/src/testUtils/testingLibrary.ts
diff --git a/packages/test-utils-core/tsconfig.json b/packages/test-utils-core/tsconfig.json
new file mode 100644
index 0000000000..7b73db2f0f
--- /dev/null
+++ b/packages/test-utils-core/tsconfig.json
@@ -0,0 +1,7 @@
+{
+  "extends": "../../tsconfig.json",
+  "include": ["src"],
+  "compilerOptions": {
+    "baseUrl": "src"
+  }
+}
diff --git a/packages/test-utils/package.json b/packages/test-utils/package.json
index 55b7436aae..ab52ca94a1 100644
--- a/packages/test-utils/package.json
+++ b/packages/test-utils/package.json
@@ -39,6 +39,7 @@
   },
   "peerDependencies": {
     "@backstage/theme": "^0.1.1-alpha.3",
+    "@backstage/test-utils-core": "^0.1.1-alpha.3",
     "@material-ui/core": "^4.9.1",
     "@testing-library/jest-dom": "^4.2.4",
     "@testing-library/react": "^9.3.2",
diff --git a/packages/test-utils/src/index.ts b/packages/test-utils/src/index.ts
index 43faf28a4a..57b7fd6773 100644
--- a/packages/test-utils/src/index.ts
+++ b/packages/test-utils/src/index.ts
@@ -14,3 +14,4 @@
  * limitations under the License.
  */
 export * from './testUtils';
+export * from '@backstage/test-utils-core';
diff --git a/packages/test-utils/src/testUtils/appWrappers.test.tsx b/packages/test-utils/src/testUtils/appWrappers.test.tsx
new file mode 100644
index 0000000000..e2f1b6b7cb
--- /dev/null
+++ b/packages/test-utils/src/testUtils/appWrappers.test.tsx
@@ -0,0 +1,35 @@
+/*
+ * Copyright 2020 Spotify AB
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *     http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+
+import React from 'react';
+import { render } from '@testing-library/react';
+import { wrapInTestApp } from './appWrappers';
+import { Route } from 'react-router';
+
+describe('wrapInTestApp', () => {
+  it('should provide routing', () => {
+    const rendered = render(
+      wrapInTestApp(
+        <>
+          <Route path="/route1">Route 1</Route>
+          <Route path="/route2">Route 2</Route>
+        </>,
+        ['/route2'],
+      ),
+    );
+    expect(rendered.getByText('Route 2')).toBeInTheDocument();
+  });
+});
diff --git a/packages/test-utils/src/testUtils/appWrappers.tsx b/packages/test-utils/src/testUtils/appWrappers.tsx
index 6aac9c5542..93f92ec537 100644
--- a/packages/test-utils/src/testUtils/appWrappers.tsx
+++ b/packages/test-utils/src/testUtils/appWrappers.tsx
@@ -20,10 +20,6 @@ import { MemoryRouter } from 'react-router';
 import { Route } from 'react-router-dom';
 import { BackstageTheme } from '@backstage/theme';
 
-export { default as Keyboard } from './Keyboard';
-export { default as mockBreakpoint } from './mockBreakpoint';
-export * from './logCollector';
-
 export function wrapInTestApp(
   Component: ComponentType | ReactNode,
   initialRouterEntries: string[] = ['/'],
diff --git a/packages/test-utils/src/testUtils/index.tsx b/packages/test-utils/src/testUtils/index.tsx
index 3e8305e0fb..ea33de2f31 100644
--- a/packages/test-utils/src/testUtils/index.tsx
+++ b/packages/test-utils/src/testUtils/index.tsx
@@ -14,8 +14,5 @@
  * limitations under the License.
  */
 
-export { default as Keyboard } from './Keyboard';
 export { default as mockBreakpoint } from './mockBreakpoint';
 export * from './appWrappers';
-export * from './logCollector';
-export * from './testingLibrary';