diff --git a/examples/generators/production_python_smart_contract_python/pyproject.toml b/examples/generators/production_python_smart_contract_python/pyproject.toml
index 2b718d1..99fda3c 100644
--- a/examples/generators/production_python_smart_contract_python/pyproject.toml
+++ b/examples/generators/production_python_smart_contract_python/pyproject.toml
@@ -11,7 +11,7 @@ python = "^3.12"
 algokit-utils = "^2.3.0"
 python-dotenv = "^1.0.0"
 algorand-python = "^2.0.0"
-algorand-python-testing = "^0.3.0"
+algorand-python-testing = "^0.4.0"
 
 [tool.poetry.group.dev.dependencies]
 algokit-client-generator = "^1.1.3"
diff --git a/examples/generators/production_python_smart_contract_python/tests/hello_world_test.py b/examples/generators/production_python_smart_contract_python/tests/hello_world_test.py
index 29951b0..b2d41ee 100644
--- a/examples/generators/production_python_smart_contract_python/tests/hello_world_test.py
+++ b/examples/generators/production_python_smart_contract_python/tests/hello_world_test.py
@@ -1,4 +1,4 @@
-from collections.abc import Generator
+from collections.abc import Iterator
 
 import pytest
 from algopy_testing import AlgopyTestContext, algopy_testing_context
@@ -7,10 +7,9 @@
 
 
 @pytest.fixture()
-def context() -> Generator[AlgopyTestContext, None, None]:
+def context() -> Iterator[AlgopyTestContext]:
     with algopy_testing_context() as ctx:
         yield ctx
-        ctx.reset()
 
 
 def test_hello(context: AlgopyTestContext) -> None:
diff --git a/examples/generators/production_python_smart_contract_typescript/pyproject.toml b/examples/generators/production_python_smart_contract_typescript/pyproject.toml
index 3231b7d..b0e4ada 100644
--- a/examples/generators/production_python_smart_contract_typescript/pyproject.toml
+++ b/examples/generators/production_python_smart_contract_typescript/pyproject.toml
@@ -11,7 +11,7 @@ python = "^3.12"
 algokit-utils = "^2.3.0"
 python-dotenv = "^1.0.0"
 algorand-python = "^2.0.0"
-algorand-python-testing = "^0.3.0"
+algorand-python-testing = "^0.4.0"
 
 [tool.poetry.group.dev.dependencies]
 black = {extras = ["d"], version = "*"}
diff --git a/examples/generators/starter_python_smart_contract_python/pyproject.toml b/examples/generators/starter_python_smart_contract_python/pyproject.toml
index 7ab3fc2..8000ea4 100644
--- a/examples/generators/starter_python_smart_contract_python/pyproject.toml
+++ b/examples/generators/starter_python_smart_contract_python/pyproject.toml
@@ -11,7 +11,7 @@ python = "^3.12"
 algokit-utils = "^2.3.0"
 python-dotenv = "^1.0.0"
 algorand-python = "^2.0.0"
-algorand-python-testing = "^0.3.0"
+algorand-python-testing = "^0.4.0"
 
 [tool.poetry.group.dev.dependencies]
 algokit-client-generator = "^1.1.3"
diff --git a/examples/generators/starter_python_smart_contract_typescript/pyproject.toml b/examples/generators/starter_python_smart_contract_typescript/pyproject.toml
index 8255303..7db2d1f 100644
--- a/examples/generators/starter_python_smart_contract_typescript/pyproject.toml
+++ b/examples/generators/starter_python_smart_contract_typescript/pyproject.toml
@@ -11,7 +11,7 @@ python = "^3.12"
 algokit-utils = "^2.3.0"
 python-dotenv = "^1.0.0"
 algorand-python = "^2.0.0"
-algorand-python-testing = "^0.3.0"
+algorand-python-testing = "^0.4.0"
 
 [tool.poetry.group.dev.dependencies]
 puyapy = "*"
diff --git a/examples/production_python/pyproject.toml b/examples/production_python/pyproject.toml
index 8b8cd87..d5d82aa 100644
--- a/examples/production_python/pyproject.toml
+++ b/examples/production_python/pyproject.toml
@@ -11,7 +11,7 @@ python = "^3.12"
 algokit-utils = "^2.3.0"
 python-dotenv = "^1.0.0"
 algorand-python = "^2.0.0"
-algorand-python-testing = "^0.3.0"
+algorand-python-testing = "^0.4.0"
 
 [tool.poetry.group.dev.dependencies]
 algokit-client-generator = "^1.1.3"
diff --git a/examples/production_python/tests/hello_world_test.py b/examples/production_python/tests/hello_world_test.py
index 29951b0..b2d41ee 100644
--- a/examples/production_python/tests/hello_world_test.py
+++ b/examples/production_python/tests/hello_world_test.py
@@ -1,4 +1,4 @@
-from collections.abc import Generator
+from collections.abc import Iterator
 
 import pytest
 from algopy_testing import AlgopyTestContext, algopy_testing_context
@@ -7,10 +7,9 @@
 
 
 @pytest.fixture()
-def context() -> Generator[AlgopyTestContext, None, None]:
+def context() -> Iterator[AlgopyTestContext]:
     with algopy_testing_context() as ctx:
         yield ctx
-        ctx.reset()
 
 
 def test_hello(context: AlgopyTestContext) -> None:
diff --git a/examples/starter_python/pyproject.toml b/examples/starter_python/pyproject.toml
index b087982..054571a 100644
--- a/examples/starter_python/pyproject.toml
+++ b/examples/starter_python/pyproject.toml
@@ -11,7 +11,7 @@ python = "^3.12"
 algokit-utils = "^2.3.0"
 python-dotenv = "^1.0.0"
 algorand-python = "^2.0.0"
-algorand-python-testing = "^0.3.0"
+algorand-python-testing = "^0.4.0"
 
 [tool.poetry.group.dev.dependencies]
 algokit-client-generator = "^1.1.3"
diff --git a/template_content/pyproject.toml.jinja b/template_content/pyproject.toml.jinja
index 9aefc86..a5e7eb7 100644
--- a/template_content/pyproject.toml.jinja
+++ b/template_content/pyproject.toml.jinja
@@ -11,7 +11,7 @@ python = "^3.12"
 algokit-utils = "^2.3.0"
 python-dotenv = "^1.0.0"
 algorand-python = "^2.0.0"
-algorand-python-testing = "^0.3.0"
+algorand-python-testing = "^0.4.0"
 
 [tool.poetry.group.dev.dependencies]
 {% if deployment_language == 'python' -%}
diff --git a/template_content/{% if use_python_pytest %}tests{% endif %}/{% if use_python_pytest %}{{ contract_name }}_test.py{% endif %}.jinja b/template_content/{% if use_python_pytest %}tests{% endif %}/{% if use_python_pytest %}{{ contract_name }}_test.py{% endif %}.jinja
index b515bc1..a8faaff 100644
--- a/template_content/{% if use_python_pytest %}tests{% endif %}/{% if use_python_pytest %}{{ contract_name }}_test.py{% endif %}.jinja	
+++ b/template_content/{% if use_python_pytest %}tests{% endif %}/{% if use_python_pytest %}{{ contract_name }}_test.py{% endif %}.jinja	
@@ -1,4 +1,4 @@
-from collections.abc import Generator
+from collections.abc import Iterator
 
 import pytest
 from algopy_testing import AlgopyTestContext, algopy_testing_context
@@ -7,10 +7,9 @@ from smart_contracts.{{ contract_name }}.contract import {{ contract_name.split(
 
 
 @pytest.fixture()
-def context() -> Generator[AlgopyTestContext, None, None]:
+def context() -> Iterator[AlgopyTestContext]:
     with algopy_testing_context() as ctx:
         yield ctx
-        ctx.reset()
 
 
 def test_hello(context: AlgopyTestContext) -> None: