diff --git a/src/client/datascience/jupyter/jupyterUtils.ts b/src/client/datascience/jupyter/jupyterUtils.ts
index dcfe07cc8367..3d0925682c6a 100644
--- a/src/client/datascience/jupyter/jupyterUtils.ts
+++ b/src/client/datascience/jupyter/jupyterUtils.ts
@@ -3,10 +3,12 @@
 'use strict';
 import '../../common/extensions';
 
+import * as fs from 'fs-extra';
 import * as path from 'path';
 import { Uri } from 'vscode';
 
 import { IWorkspaceService } from '../../common/application/types';
+import { Resource } from '../../common/types';
 import { noop } from '../../common/utils/misc';
 import { SystemVariables } from '../../common/variables/systemVariables';
 import { getJupyterConnectionDisplayName } from '../jupyter/jupyterConnection';
@@ -77,3 +79,14 @@ export function createRemoteConnectionInfo(
         getAuthHeader: serverUri ? () => getJupyterServerUri(uri)?.authorizationHeader : undefined
     };
 }
+
+export async function computeWorkingDirectory(resource: Resource, workspace: IWorkspaceService): Promise<string> {
+    // Returning directly doesn't seem to work (typescript complains)
+    // tslint:disable-next-line: no-unnecessary-local-variable
+    const workingDirectory =
+        resource && resource.scheme === 'file' && (await fs.pathExists(path.dirname(resource.fsPath)))
+            ? path.dirname(resource.fsPath)
+            : workspace.getWorkspaceFolder(resource)?.uri.fsPath || process.cwd();
+
+    return workingDirectory;
+}
diff --git a/src/client/datascience/jupyter/liveshare/hostJupyterServer.ts b/src/client/datascience/jupyter/liveshare/hostJupyterServer.ts
index 0bd15771a12b..e97c52c56e9b 100644
--- a/src/client/datascience/jupyter/liveshare/hostJupyterServer.ts
+++ b/src/client/datascience/jupyter/liveshare/hostJupyterServer.ts
@@ -6,7 +6,6 @@ import '../../../common/extensions';
 // tslint:disable-next-line: no-require-imports
 import cloneDeep = require('lodash/cloneDeep');
 import * as os from 'os';
-import * as path from 'path';
 import * as vscode from 'vscode';
 import { CancellationToken } from 'vscode-jsonrpc';
 import * as vsls from 'vsls/vscode';
@@ -40,6 +39,7 @@ import {
     INotebookServerLaunchInfo
 } from '../../types';
 import { JupyterServerBase } from '../jupyterServer';
+import { computeWorkingDirectory } from '../jupyterUtils';
 import { KernelSelector } from '../kernels/kernelSelector';
 import { HostJupyterNotebook } from './hostJupyterNotebook';
 import { LiveShareParticipantHost } from './liveShareParticipantMixin';
@@ -217,10 +217,7 @@ export class HostJupyterServer extends LiveShareParticipantHost(JupyterServerBas
             }
 
             // Figure out the working directory we need for our new notebook.
-            const workingDirectory =
-                resource && resource.scheme === 'file'
-                    ? path.dirname(resource.fsPath)
-                    : this.workspaceService.getWorkspaceFolder(resource)?.uri.fsPath || process.cwd();
+            const workingDirectory = await computeWorkingDirectory(resource, this.workspaceService);
 
             // Start a session (or use the existing one if allowed)
             const session =
diff --git a/src/client/datascience/kernel-launcher/kernelLauncherDaemon.ts b/src/client/datascience/kernel-launcher/kernelLauncherDaemon.ts
index a34ee3066830..362e6dfd8e16 100644
--- a/src/client/datascience/kernel-launcher/kernelLauncherDaemon.ts
+++ b/src/client/datascience/kernel-launcher/kernelLauncherDaemon.ts
@@ -4,6 +4,7 @@
 'use strict';
 
 import { ChildProcess } from 'child_process';
+import * as fs from 'fs-extra';
 import { inject, injectable } from 'inversify';
 import { IDisposable } from 'monaco-editor';
 import { ObservableExecutionResult } from '../../common/process/types';
@@ -29,7 +30,10 @@ export class PythonKernelLauncherDaemon implements IDisposable {
         kernelSpec: IJupyterKernelSpec,
         interpreter?: PythonInterpreter
     ): Promise<{ observableOutput: ObservableExecutionResult<string>; daemon: IPythonKernelDaemon | undefined }> {
-        const daemon = await this.daemonPool.get(resource, kernelSpec, interpreter);
+        const [daemon, wdExists] = await Promise.all([
+            this.daemonPool.get(resource, kernelSpec, interpreter),
+            fs.pathExists(workingDirectory)
+        ]);
 
         // Check to see if we have the type of kernelspec that we expect
         const args = kernelSpec.argv.slice();
@@ -51,7 +55,7 @@ export class PythonKernelLauncherDaemon implements IDisposable {
             // If we don't have a KernelDaemon here then we have an execution service and should use that to launch
             const observableOutput = daemon.execModuleObservable(moduleName, moduleArgs, {
                 env,
-                cwd: workingDirectory
+                cwd: wdExists ? workingDirectory : process.cwd()
             });
 
             return { observableOutput, daemon: undefined };
diff --git a/src/client/datascience/raw-kernel/liveshare/hostRawNotebookProvider.ts b/src/client/datascience/raw-kernel/liveshare/hostRawNotebookProvider.ts
index 8abdf4592a39..3828f74244bd 100644
--- a/src/client/datascience/raw-kernel/liveshare/hostRawNotebookProvider.ts
+++ b/src/client/datascience/raw-kernel/liveshare/hostRawNotebookProvider.ts
@@ -3,7 +3,6 @@
 'use strict';
 import '../../../common/extensions';
 
-import * as path from 'path';
 import * as vscode from 'vscode';
 import { CancellationToken } from 'vscode-jsonrpc';
 import * as vsls from 'vsls/vscode';
@@ -24,6 +23,7 @@ import * as localize from '../../../common/utils/localize';
 import { noop } from '../../../common/utils/misc';
 import { IServiceContainer } from '../../../ioc/types';
 import { Identifiers, LiveShare, LiveShareCommands, Settings } from '../../constants';
+import { computeWorkingDirectory } from '../../jupyter/jupyterUtils';
 import { KernelSelector, KernelSpecInterpreter } from '../../jupyter/kernels/kernelSelector';
 import { HostJupyterNotebook } from '../../jupyter/liveshare/hostJupyterNotebook';
 import { LiveShareParticipantHost } from '../../jupyter/liveshare/liveShareParticipantMixin';
@@ -142,10 +142,7 @@ export class HostRawNotebookProvider
             ? this.progressReporter.createProgressIndicator(localize.DataScience.connectingIPyKernel())
             : undefined;
 
-        const workingDirectory =
-            resource && resource.scheme === 'file'
-                ? path.dirname(resource.fsPath)
-                : this.workspaceService.getWorkspaceFolder(resource)?.uri.fsPath || process.cwd();
+        const workingDirectory = await computeWorkingDirectory(resource, this.workspaceService);
 
         const rawSession = new RawJupyterSession(
             this.kernelLauncher,
diff --git a/src/test/datascience/interactiveWindow.functional.test.tsx b/src/test/datascience/interactiveWindow.functional.test.tsx
index 46dfe6004a1c..504e3499f401 100644
--- a/src/test/datascience/interactiveWindow.functional.test.tsx
+++ b/src/test/datascience/interactiveWindow.functional.test.tsx
@@ -577,35 +577,41 @@ for i in range(0, 100):
 
     runTest(
         'Interrupt double',
-        async () => {
-            let interruptedKernel = false;
-            const { window, mount } = await getOrCreateInteractiveWindow(ioc);
-            window.notebook?.onKernelInterrupted(() => (interruptedKernel = true));
-
-            let timerCount = 0;
-            addContinuousMockData(ioc, interruptCode, async (_c) => {
-                timerCount += 1;
-                await sleep(0.5);
-                return Promise.resolve({ result: '', haveMore: timerCount < 100 });
-            });
+        async (context: Mocha.Context) => {
+            if (ioc.mockJupyter) {
+                let interruptedKernel = false;
+                const { window, mount } = await getOrCreateInteractiveWindow(ioc);
+                window.notebook?.onKernelInterrupted(() => (interruptedKernel = true));
+
+                let timerCount = 0;
+                addContinuousMockData(ioc, interruptCode, async (_c) => {
+                    timerCount += 1;
+                    await sleep(0.5);
+                    return Promise.resolve({ result: '', haveMore: timerCount < 100 });
+                });
 
-            addMockData(ioc, interruptCode, undefined, 'text/plain');
+                addMockData(ioc, interruptCode, undefined, 'text/plain');
 
-            // Run the interrupt code and then interrupt it twice to make sure we can interrupt twice
-            const waitForAdd = addCode(ioc, interruptCode);
+                // Run the interrupt code and then interrupt it twice to make sure we can interrupt twice
+                const waitForAdd = addCode(ioc, interruptCode);
 
-            // 'Click' the button in the react control. We need to verify we can
-            // click it more than once.
-            const interrupt = findButton(mount.wrapper, InteractivePanel, 4);
-            interrupt?.simulate('click');
-            await sleep(0.1);
-            interrupt?.simulate('click');
+                // 'Click' the button in the react control. We need to verify we can
+                // click it more than once.
+                const interrupt = findButton(mount.wrapper, InteractivePanel, 4);
+                interrupt?.simulate('click');
+                await sleep(0.1);
+                interrupt?.simulate('click');
 
-            // We should get out of the wait for add
-            await waitForAdd;
+                // We should get out of the wait for add
+                await waitForAdd;
 
-            // We should have also fired an interrupt
-            assert.ok(interruptedKernel, 'Kernel was not interrupted');
+                // We should have also fired an interrupt
+                assert.ok(interruptedKernel, 'Kernel was not interrupted');
+            } else {
+                // Timing is too iffy for real jupyter. However we really just
+                // want to make sure double interrupt is supported so keep the test.
+                context.skip();
+            }
         },
         () => {
             return ioc;
diff --git a/src/test/datascience/nativeEditor.functional.test.tsx b/src/test/datascience/nativeEditor.functional.test.tsx
index d8612e5a957b..86b971f1d0b2 100644
--- a/src/test/datascience/nativeEditor.functional.test.tsx
+++ b/src/test/datascience/nativeEditor.functional.test.tsx
@@ -317,6 +317,9 @@ suite('DataScience Native Editor', () => {
                 });
 
                 runMountedTest('Remote kernel can be switched and remembered', async () => {
+                    // Turn off raw kernel for this test as it's testing remote
+                    ioc.setExperimentState(LocalZMQKernel.experiment, false);
+
                     const pythonService = await createPythonService(ioc, 2);
 
                     // Skip test for older python and raw kernel and mac
@@ -341,9 +344,16 @@ suite('DataScience Native Editor', () => {
                         // Create another notebook and connect it to the already running kernel of the other one
                         when(ioc.applicationShell.showQuickPick(anything(), anything(), anything())).thenCall(
                             async (o: IKernelSpecQuickPickItem[]) => {
-                                const existing = o.find((s) => s.selection.kernelModel?.numberOfConnections);
-                                if (existing) {
-                                    return existing;
+                                const existing = o.filter((s) => s.selection.kernelModel?.numberOfConnections);
+
+                                // Might be more than one. Get the oldest one. It has the actual activity.
+                                const sorted = existing.sort(
+                                    (a, b) =>
+                                        b.selection.kernelModel!.lastActivityTime.getTime() -
+                                        a.selection.kernelModel!.lastActivityTime.getTime()
+                                );
+                                if (sorted && sorted.length) {
+                                    return sorted[0];
                                 }
                             }
                         );
diff --git a/src/test/datascience/notebook.functional.test.ts b/src/test/datascience/notebook.functional.test.ts
index c16783a99543..4eb84eaf390a 100644
--- a/src/test/datascience/notebook.functional.test.ts
+++ b/src/test/datascience/notebook.functional.test.ts
@@ -403,7 +403,7 @@ suite('DataScience notebook tests', () => {
                 async () => {
                     const pythonService = await createPythonService(ioc);
 
-                    if (pythonService) {
+                    if (pythonService && !useRawKernel) {
                         const configFile = path.join(
                             EXTENSION_ROOT_DIR,
                             'src',
@@ -443,7 +443,7 @@ suite('DataScience notebook tests', () => {
 
                     const pythonService = await createPythonService(ioc);
 
-                    if (pythonService) {
+                    if (pythonService && !useRawKernel) {
                         const configFile = path.join(
                             EXTENSION_ROOT_DIR,
                             'src',
@@ -509,7 +509,7 @@ suite('DataScience notebook tests', () => {
             runTest('Remote', async () => {
                 const pythonService = await createPythonService(ioc);
 
-                if (pythonService) {
+                if (pythonService && !useRawKernel) {
                     const configFile = path.join(
                         EXTENSION_ROOT_DIR,
                         'src',
diff --git a/src/test/datascience/uiTests/ipywidget.ui.functional.test.ts b/src/test/datascience/uiTests/ipywidget.ui.functional.test.ts
index 7747db5b3fdf..287e4a0ee4ed 100644
--- a/src/test/datascience/uiTests/ipywidget.ui.functional.test.ts
+++ b/src/test/datascience/uiTests/ipywidget.ui.functional.test.ts
@@ -14,6 +14,7 @@ import * as path from 'path';
 import * as sinon from 'sinon';
 import { Disposable } from 'vscode';
 import { LocalZMQKernel } from '../../../client/common/experiments/groups';
+import { sleep } from '../../../client/common/utils/async';
 import { EXTENSION_ROOT_DIR } from '../../../client/constants';
 import { retryIfFail as retryIfFailOriginal } from '../../common';
 import { mockedVSCodeNamespaces } from '../../vscode-mock';
@@ -170,6 +171,9 @@ use(chaiAsPromised);
         async function verifySliderWidgetIsAvailableAfterExecution(notebookUI: NotebookEditorUI) {
             await notebookUI.executeCell(0);
 
+            // Slider output could take a bit. Wait some
+            await sleep(2000);
+
             await retryIfFail(async () => {
                 await assert.eventually.isTrue(notebookUI.cellHasOutput(0));
                 const outputHtml = await notebookUI.getCellOutputHTML(0);