diff --git a/.github/workflows/test_and_deploy.yml b/.github/workflows/test_and_deploy.yml
index 7659bc5..1be5d34 100644
--- a/.github/workflows/test_and_deploy.yml
+++ b/.github/workflows/test_and_deploy.yml
@@ -56,7 +56,7 @@ jobs:
       - name: Test with tox
         uses: aganders3/headless-gui@v2
         with:
-          run: python -m tox -vv
+          run: python -m tox -v
         env:
           PLATFORM: ${{ matrix.platform }}
           PYVISTA_OFF_SCREEN: True
diff --git a/README.md b/README.md
index 01acf65..3fd84cf 100644
--- a/README.md
+++ b/README.md
@@ -3,8 +3,8 @@
 [![License](https://img.shields.io/pypi/l/napari-console.svg?color=green)](https://github.com/napari/napari-console/raw/master/LICENSE)
 [![PyPI](https://img.shields.io/pypi/v/napari-console.svg?color=green)](https://pypi.org/project/napari-console)
 [![Python Version](https://img.shields.io/pypi/pyversions/napari-console.svg?color=green)](https://python.org)
-[![tests](https://github.com/sofroniewn/napari-console/workflows/tests/badge.svg)](https://github.com/sofroniewn/napari-console/actions)
-[![codecov](https://codecov.io/gh/sofroniewn/napari-console/branch/master/graph/badge.svg)](https://codecov.io/gh/sofroniewn/napari-console)
+[![tests](https://github.com/napari/napari-console/workflows/tests/badge.svg)](https://github.com/napari/napari-console/actions)
+[![codecov](https://codecov.io/gh/napari/napari-console/branch/main/graph/badge.svg)](https://codecov.io/gh/napari/napari-console)
 
 A plugin that adds a console to napari
 
@@ -20,6 +20,41 @@ and review the napari docs for plugin developers:
 https://napari.org/docs/plugins/index.html
 -->
 
+## Local variables
+
+In napari-console 0.0.8 and earlier, the console `locals()` namespace only
+contained a reference to the napari viewer that enclosed the console.
+
+Since version 0.0.9, it instead contains everything in the enclosing frame that
+called napari. That is, if your Python code is:
+
+```python
+import napari
+import numpy as np
+from scipy import ndimage as ndi
+
+image = np.random.random((500, 500))
+labels = ndi.label(image > 0.7)[0]
+
+viewer, image_layer = napari.imshow(image)
+labels_layer = viewer.add_labels(labels)
+
+napari.run()
+```
+
+Then the napari console will have the variables `np`, `napari`, `ndi`, `image`,
+`labels`, `viewer`, `image_layer`, and `labels_layer` in its namespace.
+
+This is implemented by inspecting the Python stack when the console is first
+instantiated, finding the first frame that is outside of the `napari_console`,
+`napari`, and `in_n_out` modules, and passing the variables in the frame's
+`f_locals` and `f_globals` to the console namespace.
+
+If you want to disable this behavior (for example, because you are embedding
+napari and the console within some larger application), you can add
+`NAPARI_EMBED=1` to your environment variables before instantiating the
+console.
+
 ## Installation
 
 You can install `napari-console` via [pip]:
diff --git a/napari_console/_tests/test_qt_console.py b/napari_console/_tests/test_qt_console.py
index 242c53b..ea20a81 100644
--- a/napari_console/_tests/test_qt_console.py
+++ b/napari_console/_tests/test_qt_console.py
@@ -73,3 +73,27 @@ def control_has_focus():
         ), "underlying QTextEdit widget never received focus"
 
     qtbot.waitUntil(control_has_focus)
+
+
+def test_console_pass_variable(make_test_viewer, monkeypatch):
+    monkeypatch.setattr("napari_console.qt_console._PREF_LIST", ["napari.", "in_n_out."])
+    variable1 = True
+    variable2 = "sample text"
+
+    viewer = make_test_viewer()
+    console = viewer.window._qt_viewer.console
+    assert console.shell.user_ns['variable1'] == variable1
+    assert console.shell.user_ns['variable2'] == variable2
+
+    assert "mock" in console.shell.user_ns
+
+
+def test_console_disable_pass_variable(make_test_viewer, monkeypatch):
+    monkeypatch.setattr("napari_console.qt_console._PREF_LIST", ["napari.", "in_n_out."])
+    monkeypatch.setitem(globals(), "NAPARI_EMBED", True)
+    variable3 = True
+
+    viewer = make_test_viewer()
+    console = viewer.window._qt_viewer.console
+    assert locals()['variable3'] == variable3
+    assert "variable3" not in console.shell.user_ns
diff --git a/napari_console/qt_console.py b/napari_console/qt_console.py
index de39b05..2033755 100644
--- a/napari_console/qt_console.py
+++ b/napari_console/qt_console.py
@@ -2,6 +2,9 @@
 import sys
 import warnings
 
+from typing import Optional
+from types import FrameType
+
 from ipykernel.connect import get_connection_file
 from ipykernel.inprocess.ipkernel import InProcessInteractiveShell
 from ipykernel.zmqshell import ZMQInteractiveShell
@@ -13,6 +16,11 @@
 from qtpy.QtGui import QColor
 
 
+from napari.utils.naming import CallerFrame
+
+
+_PREF_LIST = ["napari.", "napari_console.", "in_n_out."]
+
 
 def str_to_rgb(arg):
     """Convert an rgb string 'rgb(x,y,z)' to a list of ints [x,y,z]."""
@@ -55,13 +63,18 @@ def str_to_rgb(arg):
             asyncio.set_event_loop_policy(WindowsSelectorEventLoopPolicy())
 
 
+
+
 class QtConsole(RichJupyterWidget):
-    """Qt view for the console, an integrated iPython terminal in napari.
+    """Qt view for the console, an integrated IPython terminal in napari.
+
+    This Qt console will automatically embed the first caller namespace when
+    not in napari by walking up the frame.
 
     Parameters
     ----------
-    user_variables : dict
-        Dictionary of user variables to declare in console name space.
+    max_depth : int
+        maximum number of frames to consider being outside of napari.
 
     Attributes
     ----------
@@ -73,11 +86,15 @@ class QtConsole(RichJupyterWidget):
         Shell for the kernel if it exists, None otherwise.
     """
 
-    def __init__(self, viewer: 'napari.viewer.Viewer'):
+    min_depth: Optional[int]
+
+    def __init__(self, viewer: "napari.viewer.Viewer", *, min_depth=1):
         super().__init__()
 
         self.viewer = viewer
 
+        self.min_depth = min_depth
+
         # Connect theme update
         self.viewer.events.theme.connect(self._update_theme)
         user_variables = {'viewer': self.viewer}
@@ -128,6 +145,7 @@ def __init__(self, viewer: 'napari.viewer.Viewer'):
             raise ValueError(
                 'ipython shell not recognized; ' f'got {type(shell)}'
             )
+        self._capture()
         # Add any user variables
         user_variables = user_variables or {}
         self.push(user_variables)
@@ -140,6 +158,29 @@ def __init__(self, viewer: 'napari.viewer.Viewer'):
         # TODO: Try to get console from jupyter to run without a shift click
         # self.execute_on_complete_input = True
 
+    def _in_napari(self, n: int, frame: FrameType):
+        """
+        Predicates that return Wether we are in napari by looking
+        at:
+            1) the frames modules names:
+            2) the min_depth
+        """
+        # in-n-out is used in napari for dependency injection.
+        if n <= self.min_depth:
+            return True
+        for pref in _PREF_LIST:
+            if frame.f_globals.get("__name__", "").startswith(pref):
+                return True
+        return False
+
+    def _capture(self):
+        """
+        Capture variable from first enclosing scope that is not napari
+        """
+        with CallerFrame(self._in_napari) as c:
+            if c.frame.f_globals.get("__name__", "") != "__main__" and "NAPARI_EMBED" not in c.frame.f_globals:
+                self.push(dict(c.namespace))
+
     def _update_theme(self, event=None):
         """Update the napari GUI theme."""
         from napari.utils.theme import get_theme, template