At the start of the 1900s Shanly remained a stable community in terms of its population and active businesses, however the post office closed in 1913 and the Anglican church closed in 1921. The last wave of immigration occurred immediately following World War II, when several Dutch families came to the area. By the mid-twentieth century the village began to experience a decline in prosperity. Around this time the pioneer industries, such as the cooperage, harness shop and blacksmith, became obsolete and ceased operation along with the cheese factories. For half a century, from around 1920 until 1972, absolutely no new houses were constructed in Shanly. In 1964, a modern public elementary school was built to amalgamate the schoolhouses of the surrounding area which were being phased out.