diff --git a/src/vs/workbench/services/workspaces/common/workspaceTrust.ts b/src/vs/workbench/services/workspaces/common/workspaceTrust.ts
index bd16504e3d5..665d66f465b 100644
--- a/src/vs/workbench/services/workspaces/common/workspaceTrust.ts
+++ b/src/vs/workbench/services/workspaces/common/workspaceTrust.ts
@@ -255,9 +255,9 @@ export class WorkspaceTrustManagementService extends Disposable implements IWork
 			return true;
 		}
 
-		// Running tests with vscode-test
-		if (this.environmentService.extensionTestsLocationURI) {
-			return true;
+		// Canonical Uris not yet resolved
+		if (!this._canonicalUrisResolved) {
+			return false;
 		}
 
 		// Remote - resolver explicitly sets workspace trust to TRUE
@@ -265,11 +265,6 @@ export class WorkspaceTrustManagementService extends Disposable implements IWork
 			return this._remoteAuthority.options.isTrusted;
 		}
 
-		// Canonical Uris not yet resolved
-		if (!this._canonicalUrisResolved) {
-			return false;
-		}
-
 		// Empty workspace - use memento, open ediors, or user setting
 		if (this.workspaceService.getWorkbenchState() === WorkbenchState.EMPTY) {
 			// Use memento if present