The decline that was so marked during the 1920s continued. TE Lawrence (of Arabia) rented a house along with two friends in 1930. He wrote a letter to his publisher describing the harshness of life in the village.

Some things did get better, new coastguard houses were built, and the local company won the Board of Trade Shield in 1931. There was an increase in the number of children of school age and the village school re-opened in 1932.By the middle of the decade the country was enjoying more prosperous times. There was more disposable income and the better off could afford to buy their own cars. The popularity of Collieston as a seaside “resort” was revived with the renowned spelding teas as the highlight for many visitors.These popular tearooms were located in the house now known as the Bakery in the High Town. Their popularity was based largely on the “Spelding Teas” that helped to attract charabanc parties and private cars to the village. Many people also bought speldings to take away with them.In September 1939 Britain declared war on Germany. This time it seemed that Collieston might be on the front line.