1937–38 saw Barrow reach the finals of the Lancashire County Cup for the first time, losing narrowly 4–8 to Warrington. That season was a time of great opportunity for the Barrow team but was to end in disappointment. After playing seven matches in just ten days, they lost 7–4 to Salford in the final of the Challenge Cup at Wembley; they also lost in the Championship play-off semi-final 13–7 against Hunslet. A new attendance record was set in that season – 21,651 in the Good Friday game against Salford.