diff --git a/e2e/relayer/relayer.go b/e2e/relayer/relayer.go
index afa0385fb7c..3e4cb2163aa 100644
--- a/e2e/relayer/relayer.go
+++ b/e2e/relayer/relayer.go
@@ -15,8 +15,10 @@ const (
 	Rly    = "rly"
 	Hermes = "hermes"
 
-	cosmosRelayerRepository = "damiannolan/rly" //"ghcr.io/cosmos/relayer"
-	cosmosRelayerUser       = "100:1000"        // docker run -it --rm --entrypoint echo ghcr.io/cosmos/relayer "$(id -u):$(id -g)"
+	hermesRelayerRepository = "ghcr.io/informalsystems/hermes"
+	hermesRelayerUser       = "1000:1000"
+	rlyRelayerRepository    = "damiannolan/rly" //"ghcr.io/cosmos/relayer"
+	rlyRelayerUser          = "100:1000"        // docker run -it --rm --entrypoint echo ghcr.io/cosmos/relayer "$(id -u):$(id -g)"
 )
 
 // Config holds configuration values for the relayer used in the tests.
@@ -35,7 +37,7 @@ func New(t *testing.T, cfg Config, logger *zap.Logger, dockerClient *dockerclien
 	case Rly:
 		return newCosmosRelayer(t, cfg.Tag, logger, dockerClient, network)
 	case Hermes:
-		return newHermesRelayer()
+		return newHermesRelayer(t, cfg.Tag, logger, dockerClient, network)
 	default:
 		panic(fmt.Sprintf("unknown relayer specified: %s", cfg.Type))
 	}
@@ -44,7 +46,7 @@ func New(t *testing.T, cfg Config, logger *zap.Logger, dockerClient *dockerclien
 // newCosmosRelayer returns an instance of the go relayer.
 // Options are used to allow for relayer version selection and specifying the default processing option.
 func newCosmosRelayer(t *testing.T, tag string, logger *zap.Logger, dockerClient *dockerclient.Client, network string) ibc.Relayer {
-	customImageOption := relayer.CustomDockerImage(cosmosRelayerRepository, tag, cosmosRelayerUser)
+	customImageOption := relayer.CustomDockerImage(rlyRelayerRepository, tag, rlyRelayerUser)
 	relayerProcessingOption := relayer.StartupFlags("-p", "events") // relayer processes via events
 
 	relayerFactory := interchaintest.NewBuiltinRelayerFactory(ibc.CosmosRly, logger, customImageOption, relayerProcessingOption)
@@ -55,8 +57,13 @@ func newCosmosRelayer(t *testing.T, tag string, logger *zap.Logger, dockerClient
 }
 
 // newHermesRelayer returns an instance of the hermes relayer.
-func newHermesRelayer() ibc.Relayer {
-	panic("hermes relayer not yet implemented for interchaintest")
+func newHermesRelayer(t *testing.T, tag string, logger *zap.Logger, dockerClient *dockerclient.Client, network string) ibc.Relayer {
+	customImageOption := relayer.CustomDockerImage(hermesRelayerRepository, tag, hermesRelayerUser)
+	relayerFactory := interchaintest.NewBuiltinRelayerFactory(ibc.Hermes, logger, customImageOption)
+
+	return relayerFactory.Build(
+		t, dockerClient, network,
+	)
 }
 
 // RelayerMap is a mapping from test names to a relayer set for that test.
diff --git a/e2e/testconfig/testconfig.go b/e2e/testconfig/testconfig.go
index f5b015ab7f1..f933f2d9da8 100644
--- a/e2e/testconfig/testconfig.go
+++ b/e2e/testconfig/testconfig.go
@@ -51,6 +51,8 @@ const (
 	// defaultRlyTag is the tag that will be used if no relayer tag is specified.
 	// all images are here https://github.com/cosmos/relayer/pkgs/container/relayer/versions
 	defaultRlyTag = "latest" // "andrew-tendermint_v0.37" // "v2.2.0"
+	// defaultHermesTag is the tag that will be used if no relayer tag is specified for hermes.
+	defaultHermesTag = "v1.4.0"
 	// defaultChainTag is the tag that will be used for the chains if none is specified.
 	defaultChainTag = "main"
 	// defaultRelayerType is the default relayer that will be used if none is specified.
@@ -286,7 +288,7 @@ func getRelayerConfigFromEnv() relayer.Config {
 			rlyTag = defaultRlyTag
 		}
 		if relayerType == relayer.Hermes {
-			// TODO: set default hermes version
+			rlyTag = defaultHermesTag
 		}
 	}
 	return relayer.Config{
diff --git a/e2e/testsuite/testsuite.go b/e2e/testsuite/testsuite.go
index 29c21ab6680..30fb9e96d18 100644
--- a/e2e/testsuite/testsuite.go
+++ b/e2e/testsuite/testsuite.go
@@ -4,13 +4,13 @@ import (
 	"context"
 	"fmt"
 	"strings"
-	"time"
 
 	dockerclient "github.com/docker/docker/client"
 	interchaintest "github.com/strangelove-ventures/interchaintest/v7"
 	"github.com/strangelove-ventures/interchaintest/v7/chain/cosmos"
 	"github.com/strangelove-ventures/interchaintest/v7/ibc"
 	"github.com/strangelove-ventures/interchaintest/v7/testreporter"
+	test "github.com/strangelove-ventures/interchaintest/v7/testutil"
 	"github.com/stretchr/testify/suite"
 	"go.uber.org/zap"
 	"go.uber.org/zap/zaptest"
@@ -128,7 +128,7 @@ func (s *E2ETestSuite) SetupChainsRelayerAndChannel(ctx context.Context, channel
 			}
 		})
 		// wait for relayer to start.
-		time.Sleep(time.Second * 10)
+		s.Require().NoError(test.WaitForBlocks(ctx, 10, chainA, chainB), "failed to wait for blocks")
 	}
 
 	s.InitGRPCClients(chainA)