Work on the cleaning and partial restoration of the Embsay Memorial was suggested by residents as a way of marking the 100th anniversary of the outbreak of the war on August 4.
Its cost was covered by a grant from Craven District Council, local donations, and from a fundraising singalong in Embsay Village Hall.
"The war memorial is one of most treasured assets." said council chairman, Cllr Gill Quinn.
"We are enormously proud of the collective efforts of our community to restore this memorial to its near original condition as part of the national commemoration."
She added: "We are especially proud of the combined efforts of many local people and groups who encouraged the parish council to undertake this project and then helped by contributing to the costs.
"We now have a memorial and an accompanying garden which truly honours the memory of the 21 young men from the parish who gave their lives for their country in the Great War."
The memorial, built in 1923, had over the years become covered in lichen and algae, darkening the colour of the stone.
The work was carried out by a Nelson-based contractor, endorsed by the War Memorials Trust, and has included the involvement of the Skipton Royal British Legion.
A re-dedication ceremony, with the Skipton Royal British Legion, was held last month.