diff --git a/.changeset/breezy-wasps-sparkle.md b/.changeset/breezy-wasps-sparkle.md
new file mode 100644
index 0000000000..8072bf2e65
--- /dev/null
+++ b/.changeset/breezy-wasps-sparkle.md
@@ -0,0 +1,5 @@
+---
+'@backstage/cli': patch
+---
+
+Fixed a bug in the built-in Jest configuration that prevented it from identifying packages that had migrated to using the new package scripts to run tests.
diff --git a/packages/cli/config/jest.js b/packages/cli/config/jest.js
index 91cdd3c41b..d5b85b9748 100644
--- a/packages/cli/config/jest.js
+++ b/packages/cli/config/jest.js
@@ -175,7 +175,10 @@ async function getRootConfig() {
       // script to determine whether a given package should be tested
       const packageData = await fs.readJson(packagePath);
       const testScript = packageData.scripts && packageData.scripts.test;
-      if (testScript && testScript.includes('backstage-cli test')) {
+      const isSupportedTestScript =
+        testScript?.includes('backstage-cli test') ||
+        testScript?.includes('backstage-cli package test');
+      if (testScript && isSupportedTestScript) {
         return await getProjectConfig(projectPath, packageData.name);
       }