diff --git a/backport-changelog/6.6/6873.md b/backport-changelog/6.6/6873.md
new file mode 100644
index 0000000000000..745966d0dc040
--- /dev/null
+++ b/backport-changelog/6.6/6873.md
@@ -0,0 +1,3 @@
+https://github.com/WordPress/wordpress-develop/pull/6873
+
+* https://github.com/WordPress/gutenberg/pull/62712
diff --git a/lib/block-supports/block-style-variations.php b/lib/block-supports/block-style-variations.php
index 4adefa0f4e440..12c2453681b41 100644
--- a/lib/block-supports/block-style-variations.php
+++ b/lib/block-supports/block-style-variations.php
@@ -208,170 +208,6 @@ function gutenberg_render_block_style_variation_class_name( $block_content, $blo
 	return $tags->get_updated_html();
 }
 
-/**
- * Collects block style variation data for merging with theme.json data.
- *
- * @since 6.6.0
- *
- * @param array $variations Shared block style variations.
- *
- * @return array Block variations data to be merged under `styles.blocks`.
- */
-function gutenberg_resolve_block_style_variations( $variations ) {
-	$variations_data = array();
-
-	if ( empty( $variations ) ) {
-		return $variations_data;
-	}
-
-	$have_named_variations = ! wp_is_numeric_array( $variations );
-
-	foreach ( $variations as $key => $variation ) {
-		$supported_blocks = $variation['blockTypes'] ?? array();
-
-		/*
-		 * Standalone theme.json partial files for block style variations
-		 * will have their styles under a top-level property by the same name.
-		 * Variations defined within an existing theme.json or theme style
-		 * variation will themselves already be the required styles data.
-		 */
-		$variation_data = $variation['styles'] ?? $variation;
-
-		if ( empty( $variation_data ) ) {
-			continue;
-		}
-
-		/*
-		 * Block style variations read in via standalone theme.json partials
-		 * need to have their name set to the kebab case version of their title.
-		 */
-		$variation_name = $have_named_variations ? $key : ( $variation['slug'] ?? _wp_to_kebab_case( $variation['title'] ) );
-
-		foreach ( $supported_blocks as $block_type ) {
-			// Add block style variation data under current block type.
-			$path = array( $block_type, 'variations', $variation_name );
-			_wp_array_set( $variations_data, $path, $variation_data );
-		}
-	}
-
-	return $variations_data;
-}
-
-/**
- * Merges variations data with existing theme.json data ensuring that the
- * current theme.json data values take precedence.
- *
- * @since 6.6.0
- *
- * @param array                        $variations_data Block style variations data keyed by block type.
- * @param WP_Theme_JSON_Data_Gutenberg $theme_json      Current theme.json data.
- * @param string                       $origin          Origin for the theme.json data.
- *
- * @return WP_Theme_JSON_Gutenberg The merged theme.json data.
- */
-function gutenberg_merge_block_style_variations_data( $variations_data, $theme_json, $origin = 'theme' ) {
-	if ( empty( $variations_data ) ) {
-		return $theme_json;
-	}
-
-	$variations_theme_json_data = array(
-		'version' => WP_Theme_JSON_Gutenberg::LATEST_SCHEMA,
-		'styles'  => array( 'blocks' => $variations_data ),
-	);
-
-	$variations_theme_json = new WP_Theme_JSON_Data_Gutenberg( $variations_theme_json_data, $origin );
-
-	/*
-	 * Merge the current theme.json data over shared variation data so that
-	 * any explicit per block variation values take precedence.
-	 */
-	return $variations_theme_json->update_with( $theme_json->get_data() );
-}
-
-/**
- * Merges any shared block style variation definitions from a theme style
- * variation into their appropriate block type within theme json styles. Any
- * custom user selections already made will take precedence over the shared
- * style variation value.
- *
- * @since 6.6.0
- *
- * @param WP_Theme_JSON_Data_Gutenberg $theme_json Current theme.json data.
- *
- * @return WP_Theme_JSON_Data_Gutenberg
- */
-function gutenberg_resolve_block_style_variations_from_theme_style_variation( $theme_json ) {
-	$theme_json_data   = $theme_json->get_data();
-	$shared_variations = $theme_json_data['styles']['blocks']['variations'] ?? array();
-	$variations_data   = gutenberg_resolve_block_style_variations( $shared_variations );
-
-	return gutenberg_merge_block_style_variations_data( $variations_data, $theme_json, 'user' );
-}
-
-/**
- * Merges block style variation data sourced from standalone partial
- * theme.json files.
- *
- * @since 6.6.0
- *
- * @param WP_Theme_JSON_Data_Gutenberg $theme_json Current theme.json data.
- *
- * @return WP_Theme_JSON_Data_Gutenberg
- */
-function gutenberg_resolve_block_style_variations_from_theme_json_partials( $theme_json ) {
-	$block_style_variations = WP_Theme_JSON_Resolver_Gutenberg::get_style_variations( 'block' );
-	$variations_data        = gutenberg_resolve_block_style_variations( $block_style_variations );
-
-	return gutenberg_merge_block_style_variations_data( $variations_data, $theme_json );
-}
-
-/**
- * Merges shared block style variations registered within the
- * `styles.blocks.variations` property of the primary theme.json file.
- *
- * @since 6.6.0
- *
- * @param WP_Theme_JSON_Data_Gutenberg $theme_json Current theme.json data.
- *
- * @return WP_Theme_JSON_Data_Gutenberg
- */
-function gutenberg_resolve_block_style_variations_from_primary_theme_json( $theme_json ) {
-	$theme_json_data        = $theme_json->get_data();
-	$block_style_variations = $theme_json_data['styles']['blocks']['variations'] ?? array();
-	$variations_data        = gutenberg_resolve_block_style_variations( $block_style_variations );
-
-	return gutenberg_merge_block_style_variations_data( $variations_data, $theme_json );
-}
-
-/**
- * Merges block style variations registered via the block styles registry with a
- * style object, under their appropriate block types within theme.json styles.
- * Any variation values defined within the theme.json specific to a block type
- * will take precedence over these shared definitions.
- *
- * @since 6.6.0
- *
- * @param WP_Theme_JSON_Data_Gutenberg $theme_json Current theme.json data.
- *
- * @return WP_Theme_JSON_Data_Gutenberg
- */
-function gutenberg_resolve_block_style_variations_from_styles_registry( $theme_json ) {
-	$registry        = WP_Block_Styles_Registry::get_instance();
-	$styles          = $registry->get_all_registered();
-	$variations_data = array();
-
-	foreach ( $styles as $block_type => $variations ) {
-		foreach ( $variations as $variation_name => $variation ) {
-			if ( ! empty( $variation['style_data'] ) ) {
-				$path = array( $block_type, 'variations', $variation_name );
-				_wp_array_set( $variations_data, $path, $variation['style_data'] );
-			}
-		}
-	}
-
-	return gutenberg_merge_block_style_variations_data( $variations_data, $theme_json );
-}
-
 /**
  * Enqueues styles for block style variations.
  *
@@ -395,71 +231,34 @@ function gutenberg_enqueue_block_style_variation_styles() {
 	remove_action( 'wp_enqueue_scripts', 'wp_enqueue_block_style_variation_styles' );
 }
 
-if ( function_exists( 'wp_resolve_block_style_variations_from_primary_theme_json' ) ) {
-	remove_filter( 'wp_theme_json_data_theme', 'wp_resolve_block_style_variations_from_primary_theme_json' );
-}
-if ( function_exists( 'wp_resolve_block_style_variations_from_theme_json_partials' ) ) {
-	remove_filter( 'wp_theme_json_data_theme', 'wp_resolve_block_style_variations_from_theme_json_partials' );
-}
-if ( function_exists( 'wp_resolve_block_style_variations_from_styles_registry' ) ) {
-	remove_filter( 'wp_theme_json_data_theme', 'wp_resolve_block_style_variations_from_styles_registry' );
-}
-if ( function_exists( 'wp_resolve_block_style_variations_from_theme_style_variation' ) ) {
-	remove_filter( 'wp_theme_json_data_user', 'wp_resolve_block_style_variations_from_theme_style_variation' );
-}
-
 // Add Gutenberg filters and action.
 add_filter( 'render_block_data', 'gutenberg_render_block_style_variation_support_styles', 10, 2 );
 add_filter( 'render_block', 'gutenberg_render_block_style_variation_class_name', 10, 2 );
 add_action( 'wp_enqueue_scripts', 'gutenberg_enqueue_block_style_variation_styles', 1 );
 
-// Resolve block style variations from all their potential sources. The order here is deliberate.
-add_filter( 'wp_theme_json_data_theme', 'gutenberg_resolve_block_style_variations_from_primary_theme_json', 10, 1 );
-add_filter( 'wp_theme_json_data_theme', 'gutenberg_resolve_block_style_variations_from_theme_json_partials', 10, 1 );
-add_filter( 'wp_theme_json_data_theme', 'gutenberg_resolve_block_style_variations_from_styles_registry', 10, 1 );
-
-add_filter( 'wp_theme_json_data_user', 'gutenberg_resolve_block_style_variations_from_theme_style_variation', 10, 1 );
-
-
 /**
- * Registers any block style variations contained within the provided
- * theme.json data.
+ * Registers block style variations read in from theme.json partials.
  *
  * @access private
  *
  * @param array $variations Shared block style variations.
  */
-function gutenberg_register_block_style_variations_from_theme_json_data( $variations ) {
+function gutenberg_register_block_style_variations_from_theme_json_partials( $variations ) {
 	if ( empty( $variations ) ) {
 		return;
 	}
 
-	$registry              = WP_Block_Styles_Registry::get_instance();
-	$have_named_variations = ! wp_is_numeric_array( $variations );
-
-	foreach ( $variations as $key => $variation ) {
-		$supported_blocks = $variation['blockTypes'] ?? array();
+	$registry = WP_Block_Styles_Registry::get_instance();
 
-		/*
-		 * Standalone theme.json partial files for block style variations
-		 * will have their styles under a top-level property by the same name.
-		 * Variations defined within an existing theme.json or theme style
-		 * variation will themselves already be the required styles data.
-		 */
-		$variation_data = $variation['styles'] ?? $variation;
-
-		if ( empty( $variation_data ) ) {
+	foreach ( $variations as $variation ) {
+		if ( empty( $variation['blockTypes'] ) || empty( $variation['styles'] ) ) {
 			continue;
 		}
 
-		/*
-		 * Block style variations read in via standalone theme.json partials
-		 * need to have their name set to the kebab case version of their title.
-		 */
-		$variation_name  = $have_named_variations ? $key : ( $variation['slug'] ?? _wp_to_kebab_case( $variation['title'] ) );
+		$variation_name  = $variation['slug'] ?? _wp_to_kebab_case( $variation['title'] );
 		$variation_label = $variation['title'] ?? $variation_name;
 
-		foreach ( $supported_blocks as $block_type ) {
+		foreach ( $variation['blockTypes'] as $block_type ) {
 			$registered_styles = $registry->get_registered_styles_for_block( $block_type );
 
 			// Register block style variation if it hasn't already been registered.
@@ -475,3 +274,19 @@ function gutenberg_register_block_style_variations_from_theme_json_data( $variat
 		}
 	}
 }
+
+// DO NOT BACKPORT TO CORE.
+// To be removed when core has backported this PR.
+if ( function_exists( 'wp_resolve_block_style_variations_from_styles_registry' ) ) {
+	remove_filter( 'wp_theme_json_data_theme', 'wp_resolve_block_style_variations_from_styles_registry' );
+}
+if ( function_exists( 'wp_resolve_block_style_variations_from_primary_theme_json' ) ) {
+	remove_filter( 'wp_theme_json_data_theme', 'wp_resolve_block_style_variations_from_primary_theme_json' );
+}
+if ( function_exists( 'wp_resolve_block_style_variations_from_theme_json_partials' ) ) {
+	remove_filter( 'wp_theme_json_data_theme', 'wp_resolve_block_style_variations_from_theme_json_partials' );
+}
+if ( function_exists( 'wp_resolve_block_style_variations_from_theme_style_variation' ) ) {
+	remove_filter( 'wp_theme_json_data_user', 'wp_resolve_block_style_variations_from_theme_style_variation' );
+}
+// END OF DO NOT BACKPORT TO CORE.
diff --git a/lib/class-wp-rest-global-styles-controller-gutenberg.php b/lib/class-wp-rest-global-styles-controller-gutenberg.php
index c933a18a4fa59..421408e6f20b4 100644
--- a/lib/class-wp-rest-global-styles-controller-gutenberg.php
+++ b/lib/class-wp-rest-global-styles-controller-gutenberg.php
@@ -331,13 +331,9 @@ protected function prepare_item_for_database( $request ) {
 				$config['styles'] = $existing_config['styles'];
 			}
 
-			// Register theme-defined variations.
-			WP_Theme_JSON_Resolver_Gutenberg::get_theme_data();
-
-			// Register user-defined variations.
-			if ( isset( $request['styles']['blocks']['variations'] ) && ! empty( $config['styles']['blocks']['variations'] ) ) {
-				gutenberg_register_block_style_variations_from_theme_json_data( $config['styles']['blocks']['variations'] );
-			}
+			// Register theme-defined variations e.g. from block style variation partials under `/styles`.
+			$variations = WP_Theme_JSON_Resolver_Gutenberg::get_style_variations( 'block' );
+			gutenberg_register_block_style_variations_from_theme_json_partials( $variations );
 
 			if ( isset( $request['settings'] ) ) {
 				$config['settings'] = $request['settings'];
@@ -710,7 +706,12 @@ public function get_theme_items( $request ) {
 			);
 		}
 
-		$response   = array();
+		$response = array();
+
+		// Register theme-defined variations e.g. from block style variation partials under `/styles`.
+		$partials = WP_Theme_JSON_Resolver_Gutenberg::get_style_variations( 'block' );
+		gutenberg_register_block_style_variations_from_theme_json_partials( $partials );
+
 		$variations = WP_Theme_JSON_Resolver_Gutenberg::get_style_variations();
 
 		// Add resolved theme asset links.
diff --git a/lib/class-wp-theme-json-gutenberg.php b/lib/class-wp-theme-json-gutenberg.php
index 6bcc1728e7f9e..9762bb610f77b 100644
--- a/lib/class-wp-theme-json-gutenberg.php
+++ b/lib/class-wp-theme-json-gutenberg.php
@@ -730,8 +730,8 @@ public static function get_element_class_name( $element ) {
 	 * Constructor.
 	 *
 	 * @since 5.8.0
-	 * @since 6.6.0 Key spacingScale by origin, and pre-generate the
-	 *              spacingSizes from spacingScale.
+	 * @since 6.6.0 Key spacingScale by origin, and pre-generate the spacingSizes from spacingScale.
+	 *              Added unwrapping of shared block style variations into block type variations if registered.
 	 *
 	 * @param array  $theme_json A structure that follows the theme.json schema.
 	 * @param string $origin     Optional. What source of data this object represents.
@@ -747,6 +747,7 @@ public function __construct( $theme_json = array( 'version' => WP_Theme_JSON_Gut
 		$valid_block_names   = array_keys( $registry->get_all_registered() );
 		$valid_element_names = array_keys( static::ELEMENTS );
 		$valid_variations    = static::get_valid_block_style_variations();
+		$this->theme_json    = static::unwrap_shared_block_style_variations( $this->theme_json, $valid_variations );
 		$this->theme_json    = static::sanitize( $this->theme_json, $valid_block_names, $valid_element_names, $valid_variations );
 		$this->theme_json    = static::maybe_opt_in_into_settings( $this->theme_json );
 
@@ -790,6 +791,74 @@ public function __construct( $theme_json = array( 'version' => WP_Theme_JSON_Gut
 		}
 	}
 
+	/**
+	 * Unwraps shared block style variations.
+	 *
+	 * It takes the shared variations (styles.variations.variationName) and
+	 * applies them to all the blocks that have the given variation registered
+	 * (styles.blocks.blockType.variations.variationName).
+	 *
+	 * For example, given the `core/paragraph` and `core/group` blocks have
+	 * registered the `section-a` style variation, and given the following input:
+	 *
+	 * {
+	 *   "styles": {
+	 *     "variations": {
+	 *       "section-a": { "color": { "background": "backgroundColor" } }
+	 *     }
+	 *   }
+	 * }
+	 *
+	 * It returns the following output:
+	 *
+	 * {
+	 *   "styles": {
+	 *     "blocks": {
+	 *       "core/paragraph": {
+	 *         "variations": {
+	 *             "section-a": { "color": { "background": "backgroundColor" } }
+	 *         },
+	 *       },
+	 *       "core/group": {
+	 *         "variations": {
+	 *           "section-a": { "color": { "background": "backgroundColor" } }
+	 *         }
+	 *       }
+	 *     }
+	 *   }
+	 * }
+	 *
+	 * @since 6.6.0
+	 *
+	 * @param array $theme_json       A structure that follows the theme.json schema.
+	 * @param array $valid_variations Valid block style variations.
+	 *
+	 * @return array Theme json data with shared variation definitions unwrapped under appropriate block types.
+	 */
+	private static function unwrap_shared_block_style_variations( $theme_json, $valid_variations ) {
+		if ( empty( $theme_json['styles']['variations'] ) || empty( $valid_variations ) ) {
+			return $theme_json;
+		}
+
+		$new_theme_json = $theme_json;
+		$variations     = $new_theme_json['styles']['variations'];
+
+		foreach ( $valid_variations as $block_type => $registered_variations ) {
+			foreach ( $registered_variations as $variation_name ) {
+				$block_level_data = $new_theme_json['styles']['blocks'][ $block_type ]['variations'][ $variation_name ] ?? array();
+				$top_level_data   = $variations[ $variation_name ] ?? array();
+				$merged_data      = array_replace_recursive( $top_level_data, $block_level_data );
+				if ( ! empty( $merged_data ) ) {
+					_wp_array_set( $new_theme_json, array( 'styles', 'blocks', $block_type, 'variations', $variation_name ), $merged_data );
+				}
+			}
+		}
+
+		unset( $new_theme_json['styles']['variations'] );
+
+		return $new_theme_json;
+	}
+
 	/**
 	 * Enables some opt-in settings if theme declared support.
 	 *
@@ -952,12 +1021,6 @@ protected static function sanitize( $input, $valid_block_names, $valid_element_n
 		$schema['settings']['blocks']                     = $schema_settings_blocks;
 		$schema['settings']['typography']['fontFamilies'] = static::schema_in_root_and_per_origin( static::FONT_FAMILY_SCHEMA );
 
-		/*
-		 * Shared block style variations can be registered from the theme.json data so we can't
-		 * validate them against pre-registered block style variations.
-		 */
-		$schema['styles']['blocks']['variations'] = null;
-
 		// Remove anything that's not present in the schema.
 		foreach ( array( 'styles', 'settings' ) as $subtree ) {
 			if ( ! isset( $input[ $subtree ] ) ) {
@@ -3310,7 +3373,7 @@ protected static function filter_slugs( $node, $slugs ) {
 	 * @since 5.9.0
 	 * @since 6.6.0 Added support for block style variation element styles and $origin parameter.
 	 *
-	 * @param array $theme_json Structure to sanitize.
+	 * @param array  $theme_json Structure to sanitize.
 	 * @param string $origin    Optional. What source of data this object represents.
 	 *                          One of 'blocks', 'default', 'theme', or 'custom'. Default 'theme'.
 	 * @return array Sanitized structure.
diff --git a/lib/class-wp-theme-json-resolver-gutenberg.php b/lib/class-wp-theme-json-resolver-gutenberg.php
index 6a8d2558d1c85..fba107b981402 100644
--- a/lib/class-wp-theme-json-resolver-gutenberg.php
+++ b/lib/class-wp-theme-json-resolver-gutenberg.php
@@ -220,7 +220,8 @@ protected static function has_same_registered_blocks( $origin ) {
 	 * @since 5.8.0
 	 * @since 5.9.0 Theme supports have been inlined and the `$theme_support_data` argument removed.
 	 * @since 6.0.0 Added an `$options` parameter to allow the theme data to be returned without theme supports.
-	 * @since 6.6.0 Add support for 'default-font-sizes' and 'default-spacing-sizes' theme supports.
+	 * @since 6.6.0 Added support for 'default-font-sizes' and 'default-spacing-sizes' theme supports.
+	 *              Added registration and merging of block style variations from partial theme.json files and the block styles registry.
 	 *
 	 * @param array $deprecated Deprecated. Not used.
 	 * @param array $options {
@@ -247,13 +248,28 @@ public static function get_theme_data( $deprecated = array(), $options = array()
 				$theme_json_data = array( 'version' => WP_Theme_JSON_Gutenberg::LATEST_SCHEMA );
 			}
 
-			// Register variations defined by the theme.
-			$variations = $theme_json_data['styles']['blocks']['variations'] ?? array();
-			gutenberg_register_block_style_variations_from_theme_json_data( $variations );
-
-			// Register variations defined by theme partials (theme.json files in the styles directory).
+			/*
+			 * Register variations defined by theme partials (theme.json files in the styles directory).
+			 * This is required so the variations pass sanitization of theme.json data.
+			 */
 			$variations = static::get_style_variations( 'block' );
-			gutenberg_register_block_style_variations_from_theme_json_data( $variations );
+			gutenberg_register_block_style_variations_from_theme_json_partials( $variations );
+
+			/*
+			 * Source variations from the block styles registry and block style variation files. Then, merge them into the existing theme.json data.
+			 *
+			 * In case the same style properties are defined in several sources, this is how we should resolve the values,
+			 * from higher to lower priority:
+			 *
+			 * - styles.blocks.blockType.variations from theme.json
+			 * - styles.variations from theme.json
+			 * - variations from block style variation files
+			 * - variations from block styles registry
+			 *
+			 * See test_add_registered_block_styles_to_theme_data and test_unwraps_block_style_variations.
+			 */
+			$theme_json_data = static::inject_variations_from_block_style_variation_files( $theme_json_data, $variations );
+			$theme_json_data = static::inject_variations_from_block_styles_registry( $theme_json_data );
 
 			/**
 			 * Filters the data provided by the theme for global styles and settings.
@@ -547,10 +563,6 @@ public static function get_user_data() {
 			}
 		}
 
-		// Register variations defined by the user.
-		$variations = $config['styles']['blocks']['variations'] ?? array();
-		gutenberg_register_block_style_variations_from_theme_json_data( $variations );
-
 		/** This filter is documented in wp-includes/class-wp-theme-json-resolver.php */
 		$theme_json   = apply_filters( 'wp_theme_json_data_user', new WP_Theme_JSON_Data_Gutenberg( $config, 'custom' ) );
 		static::$user = $theme_json->get_theme_json();
@@ -859,4 +871,84 @@ public static function resolve_theme_file_uris( $theme_json ) {
 
 		return $theme_json;
 	}
+
+	/**
+	 * Adds variations sourced from block style variations files to the supplied theme.json data.
+	 *
+	 * @since 6.6.0
+	 *
+	 * @param array $data   Array following the theme.json specification.
+	 * @param array $variations Shared block style variations.
+	 * @return array Theme json data including shared block style variation definitions.
+	 */
+	private static function inject_variations_from_block_style_variation_files( $data, $variations ) {
+		if ( empty( $variations ) ) {
+			return $data;
+		}
+
+		foreach ( $variations as $variation ) {
+			if ( empty( $variation['styles'] ) || empty( $variation['blockTypes'] ) ) {
+				continue;
+			}
+
+			$variation_name = $variation['slug'] ?? _wp_to_kebab_case( $variation['title'] );
+
+			foreach ( $variation['blockTypes'] as $block_type ) {
+				// First, override partial styles with any top-level styles.
+				$top_level_data = $data['styles']['variations'][ $variation_name ] ?? array();
+				if ( ! empty( $top_level_data ) ) {
+					$variation['styles'] = array_replace_recursive( $variation['styles'], $top_level_data );
+				}
+
+				// Then, override styles so far with any block-level styles.
+				$block_level_data = $data['styles']['blocks'][ $block_type ]['variations'][ $variation_name ] ?? array();
+				if ( ! empty( $block_level_data ) ) {
+					$variation['styles'] = array_replace_recursive( $variation['styles'], $block_level_data );
+				}
+
+				$path = array( 'styles', 'blocks', $block_type, 'variations', $variation_name );
+				_wp_array_set( $data, $path, $variation['styles'] );
+			}
+		}
+
+		return $data;
+	}
+
+	/**
+	 * Adds variations sourced from the block styles registry to the supplied theme.json data.
+	 *
+	 * @since 6.6.0
+	 *
+	 * @param array $data   Array following the theme.json specification.
+	 * @return array Theme json data including variations from the block styles registry.
+	 */
+	private static function inject_variations_from_block_styles_registry( $data ) {
+		$registry = WP_Block_Styles_Registry::get_instance();
+		$styles   = $registry->get_all_registered();
+
+		foreach ( $styles as $block_type => $variations ) {
+			foreach ( $variations as $variation_name => $variation ) {
+				if ( empty( $variation['style_data'] ) ) {
+					continue;
+				}
+
+				// First, override registry styles with any top-level styles.
+				$top_level_data = $data['styles']['variations'][ $variation_name ] ?? array();
+				if ( ! empty( $top_level_data ) ) {
+					$variation['style_data'] = array_replace_recursive( $variation['style_data'], $top_level_data );
+				}
+
+				// Then, override styles so far with any block-level styles.
+				$block_level_data = $data['styles']['blocks'][ $block_type ]['variations'][ $variation_name ] ?? array();
+				if ( ! empty( $block_level_data ) ) {
+					$variation['style_data'] = array_replace_recursive( $variation['style_data'], $block_level_data );
+				}
+
+				$path = array( 'styles', 'blocks', $block_type, 'variations', $variation_name );
+				_wp_array_set( $data, $path, $variation['style_data'] );
+			}
+		}
+
+		return $data;
+	}
 }
diff --git a/lib/theme-i18n.json b/lib/theme-i18n.json
index fe541e65c676b..e4d14502132cb 100644
--- a/lib/theme-i18n.json
+++ b/lib/theme-i18n.json
@@ -81,15 +81,6 @@
 			}
 		}
 	},
-	"styles": {
-		"blocks": {
-			"variations": {
-				"*": {
-					"title": "Style variation name"
-				}
-			}
-		}
-	},
 	"customTemplates": [
 		{
 			"title": "Custom template name"
diff --git a/phpunit/block-supports/block-style-variations-test.php b/phpunit/block-supports/block-style-variations-test.php
index ca84d3a93ec4e..0236beff468ee 100644
--- a/phpunit/block-supports/block-style-variations-test.php
+++ b/phpunit/block-supports/block-style-variations-test.php
@@ -98,12 +98,6 @@ public function filter_set_theme_root() {
 	public function test_add_registered_block_styles_to_theme_data() {
 		switch_theme( 'block-theme' );
 
-		// Register theme-defined variations.
-		WP_Theme_JSON_Resolver_Gutenberg::get_theme_data();
-
-		// Register user-defined variations.
-		WP_Theme_JSON_Resolver_Gutenberg::get_user_data();
-
 		$variation_styles_data = array(
 			'color'    => array(
 				'background' => 'darkslateblue',
@@ -158,13 +152,6 @@ public function test_add_registered_block_styles_to_theme_data() {
 		$group_styles = $theme_json['styles']['blocks']['core/group'] ?? array();
 		$expected     = array(
 			'variations' => array(
-				'WithSlug'                => array(
-					'color' => array(
-						'background' => 'aliceblue',
-						'text'       => 'midnightblue',
-					),
-				),
-				'my-variation'            => $variation_styles_data,
 
 				/*
 				 * The following block style variations are registered
@@ -183,12 +170,23 @@ public function test_add_registered_block_styles_to_theme_data() {
 						'text'       => 'lightblue',
 					),
 				),
+
+				/*
+				 * Manually registered variations.
+				 */
+				'WithSlug'                => array(
+					'color' => array(
+						'background' => 'aliceblue',
+						'text'       => 'midnightblue',
+					),
+				),
+				'my-variation'            => $variation_styles_data,
 			),
 		);
 
 		unregister_block_style( 'core/group', 'my-variation' );
 		unregister_block_style( 'core/group', 'WithSlug' );
 
-		$this->assertSameSetsWithIndex( $group_styles, $expected );
+		$this->assertSameSetsWithIndex( $expected, $group_styles, 'Variation data does not match' );
 	}
 }
diff --git a/phpunit/class-wp-rest-global-styles-controller-gutenberg-test.php b/phpunit/class-wp-rest-global-styles-controller-gutenberg-test.php
index 66a236c1c40a9..3fd0bb21ce562 100644
--- a/phpunit/class-wp-rest-global-styles-controller-gutenberg-test.php
+++ b/phpunit/class-wp-rest-global-styles-controller-gutenberg-test.php
@@ -528,6 +528,18 @@ public function test_update_item_with_custom_block_style_variations() {
 			grant_super_admin( self::$admin_id );
 		}
 
+		/*
+		 * For variations to be resolved they have to have been registered
+		 * via either a theme.json partial or through the WP_Block_Styles_Registry.
+		 */
+		register_block_style(
+			'core/group',
+			array(
+				'name'  => 'fromThemeStyleVariation',
+				'label' => 'From Theme Style Variation',
+			)
+		);
+
 		$group_variations = array(
 			'fromThemeStyleVariation' => array(
 				'color' => array(
@@ -541,16 +553,16 @@ public function test_update_item_with_custom_block_style_variations() {
 		$request->set_body_params(
 			array(
 				'styles' => array(
-					'blocks' => array(
-						'variations' => array(
-							'fromThemeStyleVariation' => array(
-								'blockTypes' => array( 'core/group', 'core/columns' ),
-								'color'      => array(
-									'background' => '#000000',
-									'text'       => '#ffffff',
-								),
+					'variations' => array(
+						'fromThemeStyleVariation' => array(
+							'blockTypes' => array( 'core/group', 'core/columns' ),
+							'color'      => array(
+								'background' => '#000000',
+								'text'       => '#ffffff',
 							),
 						),
+					),
+					'blocks'     => array(
 						'core/group' => array(
 							'variations' => $group_variations,
 						),
diff --git a/phpunit/class-wp-theme-json-resolver-test.php b/phpunit/class-wp-theme-json-resolver-test.php
index 6333c3d1dd776..e7a1b44049393 100644
--- a/phpunit/class-wp-theme-json-resolver-test.php
+++ b/phpunit/class-wp-theme-json-resolver-test.php
@@ -1289,4 +1289,93 @@ public function test_get_resolved_theme_uris() {
 
 		$this->assertSame( $expected_data, $actual );
 	}
+
+	/**
+	 * Tests that block style variations data gets merged in the following
+	 * priority order, from highest priority to lowest.
+	 *
+	 * - `styles.blocks.blockType.variations` from theme.json
+	 * - `styles.variations` from theme.json
+	 * - variations from block style variation files under `/styles`
+	 * - variations from `WP_Block_Styles_Registry`
+	 */
+	public function test_block_style_variation_merge_order() {
+		switch_theme( 'block-theme-child-with-block-style-variations' );
+
+		/*
+		 * Register style for a block that isn't included in the block style variation's partial
+		 * theme.json's blockTypes. The name must match though so we can ensure the partial's
+		 * styles do not get applied to this block.
+		 */
+		register_block_style(
+			'core/heading',
+			array(
+				'name'  => 'block-style-variation-b',
+				'label' => 'Heading only variation',
+			)
+		);
+
+		// Register variation for a block that will be partially overridden at all levels.
+		register_block_style(
+			'core/media-text',
+			array(
+				'name'       => 'block-style-variation-a',
+				'label'      => 'Block Style Variation A',
+				'style_data' => array(
+					'color' => array(
+						'background' => 'pink',
+						'gradient'   => 'var(--custom)',
+					),
+				),
+			)
+		);
+
+		$data         = WP_Theme_JSON_Resolver_Gutenberg::get_theme_data()->get_raw_data();
+		$block_styles = $data['styles']['blocks'] ?? array();
+		$actual       = array_intersect_key(
+			$block_styles,
+			array_flip( array( 'core/button', 'core/media-text', 'core/heading' ) )
+		);
+		$expected     = array(
+			'core/button'     => array(
+				'variations' => array(
+					'outline' => array(
+						'color' => array(
+							'background' => 'red',
+							'text'       => 'white',
+						),
+					),
+				),
+			),
+			'core/media-text' => array(
+				'variations' => array(
+					'block-style-variation-a' => array(
+						'color'      => array(
+							'background' => 'blue',
+							'gradient'   => 'var(--custom)',
+							'text'       => 'aliceblue',
+						),
+						'typography' => array(
+							'fontSize'   => '1.5em',
+							'lineHeight' => '1.4em',
+						),
+					),
+				),
+			),
+			'core/heading'    => array(
+				'variations' => array(
+					'block-style-variation-b' => array(
+						'typography' => array(
+							'fontSize' => '3em',
+						),
+					),
+				),
+			),
+		);
+
+		unregister_block_style( 'core/heading', 'block-style-variation-b' );
+		unregister_block_style( 'core/media-text', 'block-style-variation-a' );
+
+		$this->assertSameSetsWithIndex( $expected, $actual, 'Merged variation styles do not match.' );
+	}
 }
diff --git a/phpunit/class-wp-theme-json-test.php b/phpunit/class-wp-theme-json-test.php
index 30653c8f1c627..b188ce4fce6ab 100644
--- a/phpunit/class-wp-theme-json-test.php
+++ b/phpunit/class-wp-theme-json-test.php
@@ -3739,6 +3739,89 @@ public function test_sanitize_for_unregistered_style_variations() {
 		$this->assertSameSetsWithIndex( $expected, $sanitized_theme_json, 'Sanitized theme.json styles does not match' );
 	}
 
+	public function test_unwraps_block_style_variations() {
+		gutenberg_register_block_style(
+			array( 'core/paragraph', 'core/group' ),
+			array(
+				'name'  => 'myVariation',
+				'label' => 'My variation',
+			)
+		);
+
+		$input = new WP_Theme_JSON_Gutenberg(
+			array(
+				'version' => WP_Theme_JSON_Gutenberg::LATEST_SCHEMA,
+				'styles'  => array(
+					'variations' => array(
+						'myVariation' => array(
+							'color'      => array(
+								'background' => 'topLevel',
+								'gradient'   => 'topLevel',
+							),
+							'typography' => array(
+								'fontFamily' => 'topLevel',
+							),
+						),
+					),
+					'blocks'     => array(
+						'core/paragraph' => array(
+							'variations' => array(
+								'myVariation' => array(
+									'color'   => array(
+										'background' => 'blockLevel',
+										'text'       => 'blockLevel',
+									),
+									'outline' => array(
+										'offset' => 'blockLevel',
+									),
+								),
+							),
+						),
+					),
+				),
+			)
+		);
+
+		$expected = array(
+			'version' => WP_Theme_JSON_Gutenberg::LATEST_SCHEMA,
+			'styles'  => array(
+				'blocks' => array(
+					'core/paragraph' => array(
+						'variations' => array(
+							'myVariation' => array(
+								'color'      => array(
+									'background' => 'blockLevel',
+									'gradient'   => 'topLevel',
+									'text'       => 'blockLevel',
+								),
+								'typography' => array(
+									'fontFamily' => 'topLevel',
+								),
+								'outline'    => array(
+									'offset' => 'blockLevel',
+								),
+							),
+						),
+					),
+					'core/group'     => array(
+						'variations' => array(
+							'myVariation' => array(
+								'color'      => array(
+									'background' => 'topLevel',
+									'gradient'   => 'topLevel',
+								),
+								'typography' => array(
+									'fontFamily' => 'topLevel',
+								),
+							),
+						),
+					),
+				),
+			),
+		);
+		$this->assertSameSetsWithIndex( $expected, $input->get_raw_data(), 'Unwrapped block style variations do not match' );
+	}
+
 	/**
 	 * @dataProvider data_sanitize_for_block_with_style_variations
 	 *
diff --git a/phpunit/data/themedir1/block-theme-child-with-block-style-variations/theme.json b/phpunit/data/themedir1/block-theme-child-with-block-style-variations/theme.json
index a471d8f326a4a..fee9382dce147 100644
--- a/phpunit/data/themedir1/block-theme-child-with-block-style-variations/theme.json
+++ b/phpunit/data/themedir1/block-theme-child-with-block-style-variations/theme.json
@@ -1,4 +1,55 @@
 {
 	"$schema": "https://schemas.wp.org/trunk/theme.json",
-	"version": 3
+	"version": 3,
+	"styles": {
+		"variations": {
+			"outline": {
+				"color": {
+					"background": "green",
+					"text": "white"
+				}
+			},
+			"block-style-variation-a": {
+				"color": {
+					"background": "darkseagreen"
+				},
+				"typography": {
+					"fontSize": "2em",
+					"lineHeight": "1.4em"
+				}
+			}
+		},
+		"blocks": {
+			"core/button": {
+				"variations": {
+					"outline": {
+						"color": {
+							"background": "red"
+						}
+					}
+				}
+			},
+			"core/media-text": {
+				"variations": {
+					"block-style-variation-a": {
+						"color": {
+							"background": "blue"
+						},
+						"typography": {
+							"fontSize": "1.5em"
+						}
+					}
+				}
+			},
+			"core/heading": {
+				"variations": {
+					"block-style-variation-b": {
+						"typography": {
+							"fontSize": "3em"
+						}
+					}
+				}
+			}
+		}
+	}
 }
diff --git a/schemas/json/theme.json b/schemas/json/theme.json
index 5b9e37ef7378a..ec42bd1d54f0b 100644
--- a/schemas/json/theme.json
+++ b/schemas/json/theme.json
@@ -1938,9 +1938,6 @@
 		"stylesBlocksPropertiesComplete": {
 			"type": "object",
 			"properties": {
-				"variations": {
-					"$ref": "#/definitions/stylesBlocksSharedVariationProperties"
-				},
 				"core/archives": {
 					"$ref": "#/definitions/stylesPropertiesAndElementsComplete"
 				},
@@ -2271,15 +2268,15 @@
 				}
 			]
 		},
-		"stylesBlocksSharedVariationProperties": {
+		"stylesVariationsProperties": {
 			"type": "object",
 			"patternProperties": {
 				"^[a-z][a-z0-9-]*$": {
-					"$ref": "#/definitions/stylesSharedVariationProperties"
+					"$ref": "#/definitions/stylesVariationProperties"
 				}
 			}
 		},
-		"stylesSharedVariationProperties": {
+		"stylesVariationProperties": {
 			"type": "object",
 			"allOf": [
 				{
@@ -2287,16 +2284,6 @@
 				},
 				{
 					"properties": {
-						"title": {
-							"type": "string",
-							"description": "Style variation name."
-						},
-						"blockTypes": {
-							"type": "array",
-							"items": {
-								"type": "string"
-							}
-						},
 						"border": {},
 						"color": {},
 						"dimensions": {},
@@ -2833,6 +2820,9 @@
 								}
 							},
 							"additionalProperties": false
+						},
+						"variations": {
+							"$ref": "#/definitions/stylesVariationsProperties"
 						}
 					},
 					"additionalProperties": false