diff --git a/distributed/tests/test_utils_test.py b/distributed/tests/test_utils_test.py
index 78f4db5e400..f9d98dd7882 100755
--- a/distributed/tests/test_utils_test.py
+++ b/distributed/tests/test_utils_test.py
@@ -34,6 +34,7 @@
     assert_story,
     captured_logger,
     check_process_leak,
+    check_thread_leak,
     cluster,
     dump_cluster_state,
     freeze_batched_send,
@@ -755,6 +756,49 @@ def test_raises_with_cause():
             raise RuntimeError("exception") from ValueError("cause")
 
 
+@pytest.mark.slow
+def test_check_thread_leak():
+    event = threading.Event()
+
+    t1 = threading.Thread(target=lambda: (event.wait(), "one"))
+    t1.start()
+
+    t2 = t3 = None
+    try:
+        with pytest.raises(
+            pytest.fail.Exception, match=r"2 thread\(s\) were leaked"
+        ) as exc:
+            with check_thread_leak():
+                t2 = threading.Thread(target=lambda: (event.wait(), "two"))
+                t2.start()
+                t3 = threading.Thread(target=lambda: (event.wait(), "three"))
+                t3.start()
+
+        msg = exc.value.msg
+        assert msg
+        print(msg)  # For reference, if test fails
+
+        # First, outer thread is ignored
+        assert msg.count("Call stack of leaked thread") == 2
+        assert "one" not in msg
+
+        # Make sure we can see the full traceback, not just the last line
+        assert msg.count(__file__) == 2
+        assert 'target=lambda: (event.wait(), "two")' in msg
+        assert 'target=lambda: (event.wait(), "three")' in msg
+
+        # Ensure there aren't too many or too few newlines
+        exc.match(r'event.wait\(\), "three"\)\)\n +File')
+    finally:
+        # Clean up
+        event.set()
+        t1.join(5)
+        if t2:
+            t2.join(5)
+        if t3:
+            t3.join(5)
+
+
 @pytest.mark.parametrize("sync", [True, False])
 def test_fail_hard(sync):
     """@fail_hard is a last resort when error handling for everything that we foresaw
diff --git a/distributed/utils_test.py b/distributed/utils_test.py
index dbf5a36352d..23f8817ab10 100644
--- a/distributed/utils_test.py
+++ b/distributed/utils_test.py
@@ -1737,9 +1737,23 @@ def check_thread_leak():
             # Raise an error with information about leaked threads
             from distributed import profile
 
-            bad_thread = bad_threads[0]
-            call_stacks = profile.call_stack(sys._current_frames()[bad_thread.ident])
-            assert False, (bad_thread, call_stacks)  # noqa: B011
+            frames = sys._current_frames()
+            try:
+                lines: list[str] = [
+                    f"{len(bad_threads)} thread(s) were leaked from test\n"
+                ]
+                for i, thread in enumerate(bad_threads, 1):
+                    lines.append(
+                        f"------ Call stack of leaked thread {i}/{len(bad_threads)}: {thread} ------"
+                    )
+                    lines.append(
+                        "".join(profile.call_stack(frames[thread.ident]))
+                        # NOTE: `call_stack` already adds newlines
+                    )
+            finally:
+                del frames
+
+            pytest.fail("\n".join(lines), pytrace=False)
 
 
 def wait_active_children(timeout: float) -> list[multiprocessing.Process]: