diff --git a/test/e2e/config/azure-dev.yaml b/test/e2e/config/azure-dev.yaml
index 30ff2d6a4da..16e9b88578c 100644
--- a/test/e2e/config/azure-dev.yaml
+++ b/test/e2e/config/azure-dev.yaml
@@ -148,7 +148,7 @@ variables:
   AKS_KUBERNETES_VERSION: "latest"
   AKS_KUBERNETES_VERSION_UPGRADE_FROM: "latest-1"
   KUBERNETES_VERSION: "${KUBERNETES_VERSION:-v1.26.6}" # temporarily pin to v1.26.6 to workaround Calico dual stack issues
-  FLATCAR_KUBERNETES_VERSION: "${FLATCAR_KUBERNETES_VERSION:-v1.26.10}" # temporarily pin to v1.26.10 to workaround Flatcar image issues
+  FLATCAR_KUBERNETES_VERSION: "${FLATCAR_KUBERNETES_VERSION:-stable-1.26}"
   FLATCAR_VERSION: "${FLATCAR_VERSION:-latest}"
   ETCD_VERSION_UPGRADE_TO: "3.5.4-0"
   COREDNS_VERSION_UPGRADE_TO: "v1.9.3"
diff --git a/test/e2e/helpers.go b/test/e2e/helpers.go
index b15c96e4c7a..1184cd3ae42 100644
--- a/test/e2e/helpers.go
+++ b/test/e2e/helpers.go
@@ -752,7 +752,7 @@ func resolveFlatcarVersion(config *clusterctl.E2EConfig, versions semver.Version
 
 	if version == "latest" {
 		semver.Sort(versions)
-		version = versions[0].String()
+		version = versions[len(versions)-1].String()
 	}
 
 	resolveVariable(config, varName, version)