St Peter's Church started in 1953 as a wooden hall situated a little further up Baldwin Road than the present church, in the days when most of Greatstone was shingle and sand dunes, with only a few houses, a railway station, and a holiday camp that had started just after World War 2. Although part of the Parish and Borough of Lydd, it was six miles distant from Lydd town, and the need for a more local place of worship was felt.

The present building was made possible by a generous bequest, and was opened in April 1962 by Michael Ramsey, Archbishop of Canterbury. The shape of the building is intended to reflect the shape of a boat - being a symbol of the disciple Peter, to whom it is dedicated. The east end is rounded to be like the bow, and the west end tapers, but is cut off square to be the stern.