Thomas Lydiat (1572-1646), a mathematician, was descended from Christopher Lydiat of London, who bought Alkerton manor house in 1567. Thomas Lydiat became rector of Alkerton in 1612 and had the rectory built in 1625. He also redesigned the parish church.
By 1624 Alkerton had a watermill, presumably on Sor Brook. It was absent from village records by 1778.
The main road between Banbury and Stratford-upon-Avon passes through the northeast part of the former parish of Alkerton. It was made into a turnpike in 1743–44. Since the 1920s it has been classified as part of the A422 road.