diff --git a/lightningd/channel.c b/lightningd/channel.c
index 094a66eb3..b3e25c9ad 100644
--- a/lightningd/channel.c
+++ b/lightningd/channel.c
@@ -214,7 +214,6 @@ struct channel *new_unsaved_channel(struct peer *peer,
 	/* A zero value database id means it's not saved in the database yet */
 	channel->dbid = 0;
 	channel->error = NULL;
-	channel->htlc_timeout = NULL;
 	channel->openchannel_signed_cmd = NULL;
 	channel->state = DUALOPEND_OPEN_INIT;
 	channel->owner = NULL;
@@ -345,7 +344,6 @@ struct channel *new_channel(struct peer *peer, u64 dbid,
 	channel->dbid = dbid;
 	channel->unsaved_dbid = 0;
 	channel->error = NULL;
-	channel->htlc_timeout = NULL;
 	channel->open_attempt = NULL;
 	channel->openchannel_signed_cmd = NULL;
 	if (their_shachain)
diff --git a/lightningd/channel.h b/lightningd/channel.h
index 8d7fb8f21..d04746450 100644
--- a/lightningd/channel.h
+++ b/lightningd/channel.h
@@ -132,9 +132,6 @@ struct channel {
 	struct amount_msat msat_to_us_min;
 	struct amount_msat msat_to_us_max;
 
-	/* Timer we use in case they don't add an HTLC in a timely manner. */
-	struct oneshot *htlc_timeout;
-
 	/* Last tx they gave us. */
 	struct bitcoin_tx *last_tx;
 	enum wallet_tx_type last_tx_type;
diff --git a/lightningd/htlc_end.c b/lightningd/htlc_end.c
index d2b3c8a1e..a11315154 100644
--- a/lightningd/htlc_end.c
+++ b/lightningd/htlc_end.c
@@ -297,6 +297,7 @@ struct htlc_out *new_htlc_out(const tal_t *ctx,
 	hout->failmsg = NULL;
 	hout->failonion = NULL;
 	hout->preimage = NULL;
+	hout->timeout = NULL;
 
 	if (blinding)
 		hout->blinding = tal_dup(hout, struct pubkey, blinding);
diff --git a/lightningd/htlc_end.h b/lightningd/htlc_end.h
index 0c5affa61..7e2c1da67 100644
--- a/lightningd/htlc_end.h
+++ b/lightningd/htlc_end.h
@@ -93,6 +93,9 @@ struct htlc_out {
 
 	/* Blinding to send alongside, if any. */
 	struct pubkey *blinding;
+
+	/* Timer we use in case they don't add an HTLC in a timely manner. */
+	struct oneshot *timeout;
 };
 
 static inline const struct htlc_key *keyof_htlc_in(const struct htlc_in *in)
diff --git a/lightningd/peer_htlcs.c b/lightningd/peer_htlcs.c
index 827be6f4f..c2ac7cdf7 100644
--- a/lightningd/peer_htlcs.c
+++ b/lightningd/peer_htlcs.c
@@ -600,17 +600,22 @@ static void rcvd_htlc_reply(struct subd *subd, const u8 *msg, const int *fds UNU
 	/* When channeld includes it in commitment, we'll make it persistent. */
 }
 
-static void htlc_offer_timeout(struct channel *channel)
+static void htlc_offer_timeout(struct htlc_out *out)
 {
-	/* Unset this in case we reconnect and start again. */
-	channel->htlc_timeout = NULL;
+	struct channel *channel = out->key.channel;
+
+	out->timeout = NULL;
+
+	/* Otherwise, timer would be removed. */
+	assert(out->hstate == SENT_ADD_HTLC);
 
 	/* If owner died, we should already be taken care of. */
 	if (!channel->owner || channel->state != CHANNELD_NORMAL)
 		return;
 
 	log_unusual(channel->owner->log,
-		    "Adding HTLC too slow: killing connection");
+		    "Adding HTLC %"PRIu64" too slow: killing connection",
+		    out->key.id);
 	tal_free(channel->owner);
 	channel_set_billboard(channel, false,
 			      "Adding HTLC timed out: killed connection");
@@ -659,12 +664,14 @@ const u8 *send_htlc_out(const tal_t *ctx,
 			      partid, in);
 	tal_add_destructor(*houtp, destroy_hout_subd_died);
 
-	/* Give channel 30 seconds to commit (first) htlc. */
-	if (!out->htlc_timeout && !IFDEV(out->peer->ld->dev_no_htlc_timeout, 0))
-		out->htlc_timeout = new_reltimer(out->peer->ld->timers,
-						 out, time_from_sec(30),
+	/* Give channel 30 seconds to commit this htlc. */
+	if (!IFDEV(out->peer->ld->dev_no_htlc_timeout, 0)) {
+		(*houtp)->timeout = new_reltimer(out->peer->ld->timers,
+						 *houtp, time_from_sec(30),
 						 htlc_offer_timeout,
-						 out);
+						 *houtp);
+	}
+
 	msg = towire_channeld_offer_htlc(out, amount, cltv, payment_hash,
 					onion_routing_packet, blinding);
 	subd_req(out->peer->ld, out->owner, take(msg), -1, 0, rcvd_htlc_reply,
@@ -1627,8 +1634,8 @@ static bool update_out_htlc(struct channel *channel,
 	/* First transition into commitment; now it outlives peer. */
 	if (newstate == SENT_ADD_COMMIT) {
 		tal_del_destructor(hout, destroy_hout_subd_died);
+		hout->timeout = tal_free(hout->timeout);
 		tal_steal(ld, hout);
-
 	} else if (newstate == RCVD_REMOVE_ACK_REVOCATION) {
 		remove_htlc_out(channel, hout);
 	}
@@ -1721,8 +1728,6 @@ void peer_sending_commitsig(struct channel *channel, const u8 *msg)
 	struct lightningd *ld = channel->peer->ld;
 	struct penalty_base *pbase;
 
-	channel->htlc_timeout = tal_free(channel->htlc_timeout);
-
 	if (!fromwire_channeld_sending_commitsig(msg, msg,
 						&commitnum,
 						&pbase,
diff --git a/tests/test_connection.py b/tests/test_connection.py
index aa90dc95f..2e6049f97 100644
--- a/tests/test_connection.py
+++ b/tests/test_connection.py
@@ -3286,7 +3286,6 @@ def test_openchannel_init_alternate(node_factory, executor):
         fut.result(10)
 
 
-@pytest.mark.xfail(strict=True)
 def test_htlc_failed_noclose(node_factory):
     """Test a bug where the htlc timeout would kick in even if the HTLC failed"""
     l1, l2 = node_factory.line_graph(2)
diff --git a/tests/test_misc.py b/tests/test_misc.py
index 7ec079f89..b0f7b2a4a 100644
--- a/tests/test_misc.py
+++ b/tests/test_misc.py
@@ -1418,7 +1418,7 @@ def test_htlc_send_timeout(node_factory, bitcoind, compat):
     assert not l2.daemon.is_in_log(r'{}-.*channeld.*: \[IN\] 0013'.format(l3.info['id']))
     assert not l2.daemon.is_in_log(r'{}-.*channeld.*: \[OUT\] 0084'.format(l3.info['id']))
     # L2 killed the channel with l3 because it was too slow.
-    l2.daemon.wait_for_log('{}-.*channeld-.*Adding HTLC too slow: killing connection'.format(l3.info['id']))
+    l2.daemon.wait_for_log('{}-.*channeld-.*Adding HTLC 0 too slow: killing connection'.format(l3.info['id']))
 
 
 def test_ipv4_and_ipv6(node_factory):