In 1936-8, Lydney Rural District built council houses on Stockwell Lane and in 1944, the almshouses were sold and demolished. In 1949, Aylburton School became state controlled and in 1950-1, Lydney Rural District Council built Milling Crescent. Mains water did not reach Aylburton until the 1950s. A reservoir was built near Lodge Farm, but was replaced by the one on Chapel Hill in 1956. "The Hare and Hounds" inn was demolished in the mid 20th C. The coal tips and their railways were finally closed in 1960. In 1974, Lydney Rural District became part of the new Forest of Dean District.