Lydham is a small village and civil parish in Shropshire, England.

Lydham is situated on the junction of the A488 and the A489 main roads, about 2 miles (3.2 km) north of Bishop's Castle.

Close by is the small village and separate parish of More.

Two miles to the south-east, in the parish of Lydham, are the fragmentary remains of Lea Castle, adjoining a modern farmhouse at Lower Lea.

[3] Lydham was served by the now defunct Bishops Castle Railway which closed in 1935.