diff --git a/packages/scripts/README.md b/packages/scripts/README.md
index 16b22d3d7bfee9..bcb23d904c72f0 100644
--- a/packages/scripts/README.md
+++ b/packages/scripts/README.md
@@ -215,6 +215,10 @@ _Example:_
 This is how you execute those scripts using the presented setup:
 
 * `npm run test:e2e` - runs all unit tests.
+* `npm run test-e2e interactive` - runs all unit tests interactively.
+* `npm run test-e2e interactive FILE_NAME` - runs one test file interactively.
+* `npm run test-e2e:watch interactive` - runs all tests interactively and watch for changes.
+* `npm run test-e2e:watch interactive FILE_NAME` - runs one test file interactively and watch for changes.
 * `npm run test:e2e:help` - prints all available options to configure unit tests runner.
 
 This script automatically detects the best config to start Puppeteer but sometimes you may need to specify custom options:
diff --git a/packages/scripts/scripts/test-e2e.js b/packages/scripts/scripts/test-e2e.js
index 8105891c8d838b..fb22ede249f4bc 100644
--- a/packages/scripts/scripts/test-e2e.js
+++ b/packages/scripts/scripts/test-e2e.js
@@ -50,4 +50,10 @@ if ( hasCliArg( '--puppeteer-interactive' ) ) {
 	process.env.PUPPETEER_SLOWMO = getCliArg( '--puppeteer-slowmo' ) || 80;
 }
 
+if ( hasCliArg( '--puppeteer-local' ) ) {
+	process.env.WP_BASE_URL = 'http://localhost:8888';
+	process.env.WP_USERNAME = 'admin';
+	process.env.WP_PASSWORD = 'password';
+}
+
 jest.run( [ ...config, ...runInBand, ...getCliArgs( cleanUpPrefixes ) ] );