Loxley probably began as a clearing in the woodland near the bottom of the hill that runs west from Wellesbourne. In the late 8th century King Offa of Mercia gave the settlement to the fledgling Cathedral at Worcester. A new owner, the Count of Meulan, came with the Norman Conquest.
The Domesday Book 1086 records a thriving agricultural community with a resident priest. Later, ownership of much of the Parish passed to Kenilworth Abbey. Red sandstone from Kenilworth was used in the construction of the Church on the ancient foundations of the Anglo-Saxon Church. Bishop Godfrey Giffard consecrated the new building on 7th July 1286AD.
When Henry VIII ordered the confiscation of the property of the abbeys and monasteries in 1538, Robert Croft was the tenant of Loxley Manor. Ownership of the manor soon passed to the Underhill family and then in 1664 to Edward Nash of East Greenwich. The medieval village in the valley was later abandoned and new houses built on higher ground.
By the 1850S the former parish lands were divided between 7 farms which produced wheat, beans and peas and raised sheep and other livestock. The Victorians built a school in the 1830s and by 1910 the majority of the homes (52 out of 59) received water which was piped from the village spring.