diff --git a/tests/e2e/test_spyre_basic.py b/tests/e2e/test_spyre_basic.py
index 19eab0102..bb338ae2e 100644
--- a/tests/e2e/test_spyre_basic.py
+++ b/tests/e2e/test_spyre_basic.py
@@ -4,10 +4,15 @@
 """
 
 import pytest
+from e2e.test_spyre_cb import create_random_request
 from spyre_util import (VLLM_VERSIONS, compare_results, generate_hf_output,
                         generate_spyre_vllm_output, get_spyre_backend_list,
                         get_spyre_model_list)
-from vllm import SamplingParams
+from vllm import EngineArgs, SamplingParams
+from vllm.v1.engine.core import EngineCore
+from vllm.v1.executor.abstract import Executor
+
+from vllm_spyre.v1.core.scheduler import StaticBatchingSpyreScheduler
 
 template = (
     "Below is an instruction that describes a task. Write a response that "
@@ -128,3 +133,60 @@ def test_batch_handling(
     assert vllm_results[1]["text"] == " 6 5 4 3 2 "
     assert vllm_results[2]["text"] == " 4 3 2 "
     assert vllm_results[3]["text"] == "6 5 4 3 2 "
+
+
+@pytest.mark.parametrize("model", get_spyre_model_list())
+@pytest.mark.parametrize("backend", get_spyre_backend_list())
+@pytest.mark.parametrize("vllm_version",
+                         [pytest.param("V1", marks=pytest.mark.v1, id="v1")])
+def test_full_batch_scheduling(model: str, backend: str, vllm_version: str,
+                               monkeypatch):
+    """Test that we can schedule a full batch of prompts."""
+
+    # We need to ensure here that the max number of tokens in a full batch
+    # is greater than the value set for `--max-num-batched-tokens`.
+    # This defaults to 2k in many cases for vllm.v1, which will cause problems
+    # when trying to schedule a static batch with more than 2k tokens.
+    # The plugin _should_ override this in config for the engine so that the
+    # scheduler can properly schedule a full batch.
+
+    # Here we set `--max-num-batched-tokens` to 64, and try to schedule a batch
+    # of 4 x 64-token prompts
+    max_batched_tokens = 64
+    batch_size = 4
+
+    # set batching config
+    monkeypatch.setenv("VLLM_SPYRE_WARMUP_BATCH_SIZES", f"{batch_size}")
+    monkeypatch.setenv("VLLM_SPYRE_WARMUP_PROMPT_LENS",
+                       f"{max_batched_tokens}")
+    monkeypatch.setenv("VLLM_SPYRE_WARMUP_NEW_TOKENS", "20")
+
+    # So we can access the engine and scheduler in this process
+    monkeypatch.setenv("VLLM_ENABLE_V1_MULTIPROCESSING", "0")
+
+    monkeypatch.setenv("VLLM_USE_V1", "1")
+    monkeypatch.setenv("VLLM_SPYRE_DYNAMO_BACKEND", backend)
+
+    # Setup the engine
+    engine_args = EngineArgs(model=model,
+                             tokenizer=model,
+                             max_num_batched_tokens=max_batched_tokens,
+                             max_num_seqs=4)
+    vllm_config = engine_args.create_engine_config()
+    executor_class = Executor.get_class(vllm_config)
+    engine_core = EngineCore(vllm_config=vllm_config,
+                             executor_class=executor_class,
+                             log_stats=False)
+    scheduler: StaticBatchingSpyreScheduler = engine_core.scheduler
+
+    vllm_sampling_params = SamplingParams(max_tokens=20,
+                                          temperature=0,
+                                          logprobs=0)
+    for i in range(batch_size):
+        engine_core.add_request(
+            create_random_request(request_id=i,
+                                  num_tokens=max_batched_tokens,
+                                  sampling_params=vllm_sampling_params))
+    schedule = scheduler.schedule()
+
+    assert len(schedule.scheduled_new_reqs) == batch_size
diff --git a/vllm_spyre/platform.py b/vllm_spyre/platform.py
index 655cd3889..c22ed107b 100644
--- a/vllm_spyre/platform.py
+++ b/vllm_spyre/platform.py
@@ -109,12 +109,15 @@ def check_and_update_config(cls, vllm_config: VllmConfig) -> None:
         # Cache and model config aren't set in the individual worker procs
         # These are set in the main engine process
 
-        # To disable any paged attention ops in the base scheduler, we both:
+        # To disable any paged attention ops in the base scheduler, we:
         # - Set the block size (in tokens) to the maximum sequence length
         #       so that the scheduler thinks an entire sequence will fit in
         #       one single block.
         # - Set the number of blocks to the maximum number of sequences, so
         #       the scheduler always thinks there's a block available
+        # - Set `max_num_batched_tokens` to the size of a full batch of full
+        #       length requests, so that the scheduler will always have token
+        #       budget available to schedule a full batch
         if cache_config is not None:
             if envs.VLLM_USE_V1:
                 # The V1 scheduler actually needs 2 blocks for each sequence...
@@ -125,6 +128,8 @@ def check_and_update_config(cls, vllm_config: VllmConfig) -> None:
                     scheduler_config.max_num_seqs
 
             cache_config.block_size = model_config.max_model_len
+            scheduler_config.max_num_batched_tokens = (
+                model_config.max_model_len * scheduler_config.max_num_seqs)
 
         logger.info(
             "Overriding configurations based on warmup shapes. "