diff --git a/res/css/views/rooms/_MemberTileView.pcss b/res/css/views/rooms/_MemberTileView.pcss
index 1855c50593..307625d042 100644
--- a/res/css/views/rooms/_MemberTileView.pcss
+++ b/res/css/views/rooms/_MemberTileView.pcss
@@ -42,7 +42,3 @@ Please see LICENSE files in the repository root for full details.
         width: 32px;
     }
 }
-
-.mx_MemberTileView_hover {
-    background-color: var(--cpd-color-bg-action-secondary-hovered);
-}
diff --git a/src/components/utils/ListView.tsx b/src/components/utils/ListView.tsx
index bea53eb594..3727e8f119 100644
--- a/src/components/utils/ListView.tsx
+++ b/src/components/utils/ListView.tsx
@@ -5,7 +5,7 @@ SPDX-License-Identifier: AGPL-3.0-only OR GPL-3.0-only OR LicenseRef-Element-Com
 Please see LICENSE files in the repository root for full details.
 */
 
-import React, { useRef, type JSX, useCallback } from "react";
+import React, { useRef, type JSX, useCallback, useEffect, useState } from "react";
 import { type VirtuosoHandle, type ListRange, Virtuoso, type VirtuosoProps } from "react-virtuoso";
 
 /**
@@ -13,8 +13,10 @@ import { type VirtuosoHandle, type ListRange, Virtuoso, type VirtuosoProps } fro
  * and any additional context data from the parent component.
  */
 export type ListContext<Context> = {
-    /** The key of the currently focused item in the list (undefined if no item is focused) */
-    focusKey?: string;
+    /** The key of item that should have tabIndex == 0 */
+    tabIndexKey?: string;
+    /** Whether an item in the list is currently focused */
+    focused: boolean;
     /** Additional context data passed from the parent component */
     context: Context;
 };
@@ -38,10 +40,9 @@ export interface IListViewProps<Item, Context>
      * @param index - The index of the item in the list
      * @param item - The data item to render
      * @param context - The context object containing the focused key and any additional data
-     * @param onBlur - Callback to call when the item loses focus
      * @returns JSX element representing the rendered item
      */
-    getItemComponent: (index: number, item: Item, context: ListContext<Context>, onBlur: () => void) => JSX.Element;
+    getItemComponent: (index: number, item: Item, context: ListContext<Context>) => JSX.Element;
 
     /**
      * Optional additional context data to pass to each rendered item.
@@ -72,27 +73,34 @@ export interface IListViewProps<Item, Context>
  * @template Context - The type of additional context data passed to items
  */
 export function ListView<Item, Context = any>(props: IListViewProps<Item, Context>): React.ReactElement {
+    // Extract our custom props to avoid conflicts with Virtuoso props
+    const { items, onSelectItem, getItemComponent, isItemFocusable, getItemKey, context, ...virtuosoProps } = props;
     /** Reference to the Virtuoso component for programmatic scrolling */
     const virtuosoHandleRef = useRef<VirtuosoHandle>(null);
     /** Reference to the DOM element containing the virtualized list */
     const virtuosoDomRef = useRef<HTMLElement | Window>(null);
-
-    /** Key of the currently focused item (unknown if no item is focused) */
-    const [focusKey, setfocusKey] = React.useState<string | undefined>(undefined);
-    /** Key of the last focused item (used when regaining focus) */
-    const [lastFocusKey, setLastFocusKey] = React.useState<string | undefined>(undefined);
+    /** Key of the item that should have tabIndex == 0 */
+    const [tabIndexKey, setTabIndexKey] = useState<string | undefined>(
+        props.items[0] ? getItemKey(props.items[0]) : undefined,
+    );
     /** Range of currently visible items in the viewport */
-    const [visibleRange, setVisibleRange] = React.useState<ListRange | undefined>(undefined);
+    const [visibleRange, setVisibleRange] = useState<ListRange | undefined>(undefined);
     /** Map from item keys to their indices in the items array */
-    const [keyToIndexMap, setKeyToIndexMap] = React.useState<Map<string, number>>(new Map());
-
-    // Extract our custom props to avoid conflicts with Virtuoso props
-    const { items, onSelectItem, getItemComponent, isItemFocusable, getItemKey, context, ...virtuosoProps } = props;
-
+    const [keyToIndexMap, setKeyToIndexMap] = useState<Map<string, number>>(new Map());
+    /** Whether the list is currently scrolling to an item */
     const isScrollingToItem = useRef<boolean>(false);
+    /** Whether the list is currently focused */
+    const [isFocused, setIsFocused] = useState<boolean>(false);
 
     // Update the key-to-index mapping whenever items change
-    React.useEffect(() => {
+    useEffect(() => {
+        if (items.length && !tabIndexKey) {
+            setTabIndexKey(getItemKey(items[0]));
+        }
+    }, [items, getItemKey, tabIndexKey]);
+
+    // Update the key-to-index mapping whenever items change
+    useEffect(() => {
         const newKeyToIndexMap = new Map<string, number>();
         items.forEach((item, index) => {
             const key = getItemKey(item);
@@ -101,24 +109,6 @@ export function ListView<Item, Context = any>(props: IListViewProps<Item, Contex
         setKeyToIndexMap(newKeyToIndexMap);
     }, [items, getItemKey]);
 
-    /**
-     * Wrapper function that renders each list item and provides the onBlur callback.
-     * This function is called by Virtuoso for each visible item.
-     */
-    const getItemComponentInternal = useCallback(
-        (index: number, item: Item, context: ListContext<Context>): JSX.Element => {
-            const onBlur = (): void => {
-                const key = getItemKey(item);
-                if (focusKey === key) {
-                    setfocusKey(undefined);
-                    setLastFocusKey(key);
-                }
-            };
-            return getItemComponent(index, item, context, onBlur);
-        },
-        [focusKey, getItemKey, getItemComponent],
-    );
-
     /**
      * Scrolls to a specific item index and sets it as focused.
      * Uses Virtuoso's scrollIntoView method for smooth scrolling.
@@ -134,7 +124,7 @@ export function ListView<Item, Context = any>(props: IListViewProps<Item, Contex
             }
             if (items[clampedIndex]) {
                 const key = getItemKey(items[clampedIndex]);
-                setfocusKey(key);
+                setTabIndexKey(key);
                 isScrollingToItem.current = true;
                 virtuosoHandleRef?.current?.scrollIntoView({
                     index: clampedIndex,
@@ -182,7 +172,7 @@ export function ListView<Item, Context = any>(props: IListViewProps<Item, Contex
         (e: React.KeyboardEvent) => {
             if (!e) return; // Guard against null/undefined events
 
-            const currentIndex = focusKey ? keyToIndexMap.get(focusKey) : undefined;
+            const currentIndex = tabIndexKey ? keyToIndexMap.get(tabIndexKey) : undefined;
 
             let handled = false;
             if (e.code === "ArrowUp" && currentIndex !== undefined) {
@@ -216,49 +206,57 @@ export function ListView<Item, Context = any>(props: IListViewProps<Item, Contex
                 e.preventDefault();
             }
         },
-        [scrollToIndex, scrollToItem, focusKey, keyToIndexMap, visibleRange, items, onSelectItem],
+        [scrollToIndex, scrollToItem, tabIndexKey, keyToIndexMap, visibleRange, items, onSelectItem],
     );
 
     /**
      * Callback ref for the Virtuoso scroller element.
      * Stores the reference for use in focus management.
      */
-    const scrollerRef = React.useCallback((element: HTMLElement | Window | null) => {
+    const scrollerRef = useCallback((element: HTMLElement | Window | null) => {
         virtuosoDomRef.current = element;
     }, []);
 
     /**
      * Handles focus events on the list.
-     * Sets initial focus to the last focused item or the first item if none was previously focused.
+     * Sets the focused state and scrolls to the focused item if it is not currently visible.
      */
-    const onFocus = (e?: React.FocusEvent): void => {
-        if (e?.currentTarget !== virtuosoDomRef.current || focusKey !== undefined) {
-            return;
-        }
-
-        let nextIndex = 0;
-        if (lastFocusKey) {
-            const lastIndex = keyToIndexMap.get(lastFocusKey);
-            if (lastIndex !== undefined) {
-                nextIndex = lastIndex;
+    const onFocus = useCallback(
+        (e?: React.FocusEvent): void => {
+            if (e?.currentTarget !== virtuosoDomRef.current || typeof tabIndexKey !== "string") {
+                return;
             }
-        }
 
-        scrollToIndex(nextIndex);
-        e?.stopPropagation();
-        e?.preventDefault();
-    };
+            setIsFocused(true);
+            const index = keyToIndexMap.get(tabIndexKey);
+            if (
+                index !== undefined &&
+                visibleRange &&
+                (index < visibleRange.startIndex || index > visibleRange.endIndex)
+            ) {
+                scrollToIndex(index);
+            }
+            e?.stopPropagation();
+            e?.preventDefault();
+        },
+        [keyToIndexMap, visibleRange, scrollToIndex, tabIndexKey],
+    );
+
+    const onBlur = useCallback((): void => {
+        setIsFocused(false);
+    }, []);
 
     const listContext: ListContext<Context> = {
-        focusKey: focusKey,
+        tabIndexKey: tabIndexKey,
+        focused: isFocused,
         context: props.context || ({} as Context),
     };
 
     return (
         <Virtuoso
-            role={props.role || "grid"}
             aria-rowcount={props.items.length}
             aria-colcount={1}
+            tabIndex={props.tabIndex || undefined} // We don't need to focus the container, so leave it undefined by default
             scrollerRef={scrollerRef}
             ref={virtuosoHandleRef}
             onKeyDown={keyDownCallback}
@@ -268,7 +266,8 @@ export function ListView<Item, Context = any>(props: IListViewProps<Item, Contex
             overscan={props.overscan || 0}
             data={props.items}
             onFocus={onFocus}
-            itemContent={getItemComponentInternal}
+            onBlur={onBlur}
+            itemContent={props.getItemComponent}
             {...virtuosoProps}
         />
     );
diff --git a/src/components/views/rooms/MemberList/MemberListView.tsx b/src/components/views/rooms/MemberList/MemberListView.tsx
index 9c12414e21..8afdeaf990 100644
--- a/src/components/views/rooms/MemberList/MemberListView.tsx
+++ b/src/components/views/rooms/MemberList/MemberListView.tsx
@@ -41,9 +41,10 @@ const MemberListView: React.FC<IProps> = (props: IProps) => {
     }, []);
 
     const getItemComponent = useCallback(
-        (index: number, item: MemberWithSeparator, context: ListContext<any>, onBlur: () => void): JSX.Element => {
+        (index: number, item: MemberWithSeparator, context: ListContext<any>): JSX.Element => {
             const itemKey = getItemKey(item);
-            const focused = itemKey === context.focusKey;
+            const isRovingItem = itemKey === context.tabIndexKey;
+            const focused = isRovingItem && context.focused;
             if (item === SEPARATOR) {
                 return <hr className="mx_MemberListView_separator" />;
             } else if (item.member) {
@@ -52,9 +53,9 @@ const MemberListView: React.FC<IProps> = (props: IProps) => {
                         member={item.member}
                         showPresence={isPresenceEnabled}
                         focused={focused}
+                        tabIndex={isRovingItem ? 0 : -1}
                         index={index}
                         memberCount={memberCount}
-                        onBlur={onBlur}
                     />
                 );
             } else {
@@ -62,9 +63,9 @@ const MemberListView: React.FC<IProps> = (props: IProps) => {
                     <ThreePidInviteTileView
                         threePidInvite={item.threePidInvite}
                         focused={focused}
+                        tabIndex={isRovingItem ? 0 : -1}
                         memberIndex={index - 1} // Adjust as invites are below the separator
                         memberCount={memberCount}
-                        onBlur={onBlur}
                     />
                 );
             }
diff --git a/src/components/views/rooms/MemberList/tiles/RoomMemberTileView.tsx b/src/components/views/rooms/MemberList/tiles/RoomMemberTileView.tsx
index 47b4bf074d..4837972da3 100644
--- a/src/components/views/rooms/MemberList/tiles/RoomMemberTileView.tsx
+++ b/src/components/views/rooms/MemberList/tiles/RoomMemberTileView.tsx
@@ -21,9 +21,9 @@ interface IProps {
     member: RoomMember;
     index: number;
     memberCount: number;
-    onBlur?: () => void;
     showPresence?: boolean;
     focused?: boolean;
+    tabIndex?: number;
 }
 
 export function RoomMemberTileView(props: IProps): JSX.Element {
@@ -59,7 +59,6 @@ export function RoomMemberTileView(props: IProps): JSX.Element {
     return (
         <MemberTileView
             onClick={vm.onClick}
-            onBlur={props.onBlur}
             avatarJsx={av}
             presenceJsx={presenceJSX}
             nameJsx={nameJSX}
@@ -67,6 +66,7 @@ export function RoomMemberTileView(props: IProps): JSX.Element {
             ariaLabel={name}
             iconJsx={iconJsx}
             focused={props.focused}
+            tabIndex={props.tabIndex}
             memberIndex={props.index - (member.isInvite ? 1 : 0)} // Adjust as invites are below the seperator
             memberCount={props.memberCount}
         />
diff --git a/src/components/views/rooms/MemberList/tiles/ThreePidInviteTileView.tsx b/src/components/views/rooms/MemberList/tiles/ThreePidInviteTileView.tsx
index 57d06baf67..0a93727f5f 100644
--- a/src/components/views/rooms/MemberList/tiles/ThreePidInviteTileView.tsx
+++ b/src/components/views/rooms/MemberList/tiles/ThreePidInviteTileView.tsx
@@ -18,7 +18,7 @@ interface Props {
     memberIndex: number;
     memberCount: number;
     focused?: boolean;
-    onBlur?: () => void;
+    tabIndex?: number;
 }
 
 export function ThreePidInviteTileView(props: Props): JSX.Element {
@@ -32,13 +32,13 @@ export function ThreePidInviteTileView(props: Props): JSX.Element {
             nameJsx={name}
             avatarJsx={av}
             onClick={vm.onClick}
-            onBlur={props.onBlur}
             memberIndex={props.memberIndex}
             memberCount={props.memberCount}
             ariaLabel={name}
             userLabel={vm.userLabel}
             iconJsx={iconJsx}
             focused={props.focused}
+            tabIndex={props.tabIndex}
         />
     );
 }
diff --git a/src/components/views/rooms/MemberList/tiles/common/MemberTileView.tsx b/src/components/views/rooms/MemberList/tiles/common/MemberTileView.tsx
index 276163cb28..7254208b2a 100644
--- a/src/components/views/rooms/MemberList/tiles/common/MemberTileView.tsx
+++ b/src/components/views/rooms/MemberList/tiles/common/MemberTileView.tsx
@@ -5,7 +5,6 @@ SPDX-License-Identifier: AGPL-3.0-only OR GPL-3.0-only OR LicenseRef-Element-Com
 Please see LICENSE files in the repository root for full details.
 */
 
-import classNames from "classnames";
 import React, { useEffect, useRef, type JSX } from "react";
 
 import AccessibleButton from "../../../../elements/AccessibleButton";
@@ -16,11 +15,11 @@ interface Props {
     onClick: () => void;
     memberIndex: number;
     memberCount: number;
-    onBlur?: () => void;
     ariaLabel?: string;
     presenceJsx?: JSX.Element;
     userLabel?: React.ReactNode;
     iconJsx?: JSX.Element;
+    tabIndex?: number;
     focused?: boolean;
 }
 
@@ -40,13 +39,10 @@ export function MemberTileView(props: Props): JSX.Element {
         <div>
             <AccessibleButton
                 ref={ref}
-                className={classNames("mx_MemberTileView", {
-                    mx_MemberTileView_hover: props.focused,
-                })}
+                className="mx_MemberTileView"
                 onClick={props.onClick}
-                onBlur={props.onBlur}
                 aria-label={props?.ariaLabel}
-                tabIndex={props.focused ? 0 : -1}
+                tabIndex={props.tabIndex}
                 role="option"
                 aria-posinset={props.memberIndex + 1}
                 aria-setsize={props.memberCount}
diff --git a/test/unit-tests/components/views/utils/ListView-test.tsx b/test/unit-tests/components/views/utils/ListView-test.tsx
index d316e633d1..8964fd2655 100644
--- a/test/unit-tests/components/views/utils/ListView-test.tsx
+++ b/test/unit-tests/components/views/utils/ListView-test.tsx
@@ -40,36 +40,33 @@ describe("ListView", () => {
         getItemKey: (item) => (typeof item === "string" ? item : item.id),
     };
 
+    const getListViewComponent = (props: Partial<IListViewProps<TestItemWithSeparator, any>> = {}) => {
+        const mergedProps = { ...defaultProps, ...props };
+        return <ListView {...mergedProps} role="grid" aria-rowcount={props.items?.length} aria-colcount={1} />;
+    };
+
     const renderListViewWithHeight = (props: Partial<IListViewProps<TestItemWithSeparator, any>> = {}) => {
         const mergedProps = { ...defaultProps, ...props };
-        return render(
-            <div style={{ height: "400px" }}>
-                <ListView {...mergedProps} style={{ height: "100%" }} />
-            </div>,
-            {
-                wrapper: ({ children }) => (
-                    <VirtuosoMockContext.Provider value={{ viewportHeight: 400, itemHeight: 56 }}>
-                        {children}
-                    </VirtuosoMockContext.Provider>
-                ),
-            },
-        );
+        return render(getListViewComponent(mergedProps), {
+            wrapper: ({ children }) => (
+                <VirtuosoMockContext.Provider value={{ viewportHeight: 400, itemHeight: 56 }}>
+                    {children}
+                </VirtuosoMockContext.Provider>
+            ),
+        });
     };
 
     beforeEach(() => {
         jest.clearAllMocks();
-        mockGetItemComponent.mockImplementation(
-            (index: number, item: TestItemWithSeparator, context: any, onBlur: () => void) => {
-                const itemKey = typeof item === "string" ? item : item.id;
-                const isFocused = context.focusKey === itemKey;
-                return (
-                    <div className="mx_item" data-testid={`row-${index}`} tabIndex={isFocused ? 0 : -1}>
-                        {item === SEPARATOR_ITEM ? "---" : (item as TestItem).name}
-                        <button onClick={onBlur}>Blur</button>
-                    </div>
-                );
-            },
-        );
+        mockGetItemComponent.mockImplementation((index: number, item: TestItemWithSeparator, context: any) => {
+            const itemKey = typeof item === "string" ? item : item.id;
+            const isFocused = context.tabIndexKey === itemKey;
+            return (
+                <div className="mx_item" data-testid={`row-${index}`} tabIndex={isFocused ? 0 : -1}>
+                    {item === SEPARATOR_ITEM ? "---" : (item as TestItem).name}
+                </div>
+            );
+        });
         mockIsItemFocusable.mockImplementation((item: TestItemWithSeparator) => item !== SEPARATOR_ITEM);
     });
 
@@ -79,12 +76,12 @@ describe("ListView", () => {
 
     describe("Rendering", () => {
         it("should render the ListView component", () => {
-            render(<ListView {...defaultProps} />);
+            renderListViewWithHeight();
             expect(screen.getByRole("grid")).toBeInTheDocument();
         });
 
         it("should render with empty items array", () => {
-            render(<ListView {...defaultProps} items={[]} />);
+            renderListViewWithHeight({ items: [] });
             expect(screen.getByRole("grid")).toBeInTheDocument();
         });
     });
@@ -325,46 +322,6 @@ describe("ListView", () => {
             expect(items[2]).toHaveAttribute("tabindex", "0"); // Should still be item 2
         });
 
-        it("should handle onBlur callback from item components", () => {
-            const blurSpy = jest.fn();
-            mockGetItemComponent.mockImplementation(
-                (index: number, item: TestItemWithSeparator, context: any, onBlur: () => void) => {
-                    const itemKey = typeof item === "string" ? item : item.id;
-                    const isFocused = context.focusKey === itemKey;
-                    return (
-                        <div
-                            className="mx_item"
-                            data-testid={`row-${index}`}
-                            tabIndex={isFocused ? 0 : -1}
-                            onBlur={() => {
-                                onBlur();
-                                blurSpy();
-                            }}
-                        >
-                            {item === SEPARATOR_ITEM ? "---" : (item as TestItem).name}
-                            <button>Blur</button>
-                        </div>
-                    );
-                },
-            );
-
-            renderListViewWithHeight();
-            const container = screen.getByRole("grid");
-
-            fireEvent.focus(container);
-
-            // Verify focus is established
-            const items = container.querySelectorAll(".mx_item");
-            expect(items[0]).toHaveAttribute("tabindex", "0");
-
-            // Simulate blur on the focused item
-            const firstItem = container.querySelector("[data-testid='row-0']");
-            fireEvent.blur(firstItem!);
-
-            // Verify the blur callback was called
-            expect(blurSpy).toHaveBeenCalled();
-        });
-
         it("should not interfere with focus if item is already focused", () => {
             renderListViewWithHeight();
             const container = screen.getByRole("grid");
@@ -400,9 +357,10 @@ describe("ListView", () => {
                 { id: "2", name: "Item 2" },
             ];
             rerender(
-                <div style={{ height: "400px" }}>
-                    <ListView {...defaultProps} items={fewerItems} style={{ height: "100%" }} />
-                </div>,
+                getListViewComponent({
+                    ...defaultProps,
+                    items: fewerItems,
+                }),
             );
 
             container = screen.getByRole("grid");