Background: Hippocampal hyperperfusion has been observed in people at Clinical High Risk for Psychosis (CHR), is implicated in the pathophysiology driving psychosis onset and represents a potential disease-modifying treatment target. Whether cannabidiol (CBD) has ameliorative effects on hippocampal blood flow (rCBF) in CHR patients remains unknown. Methods: Using a randomised, double-blind, parallel-group design, 33 CHR patients were randomised to a single oral 600mg dose of CBD or placebo. Nineteen healthy controls were studied under identical conditions but did not receive any drug. Hippocampal rCBF was measured using Arterial Spin Labelling. We examined differences relating to CHR status (controls vs placebo), effects of CBD in CHR (placebo vs CBD) and linear between-group relationships, such that placebo>CBD>controls or controls>CBD>placebo, using a combination of hypothesis-driven and exploratory wholebrain analyses. Results: Placebo-treated patients had significantly higher hippocampal rCBF bilaterally (all pFWE<.01) compared to controls. There were no suprathreshold voxels in the CBD vs placebo contrast. However, we found a significant linear relationship in the right hippocampus (pFWE=.035) such that rCBF was highest in the placebo group, lowest in controls and intermediate in the CBD group. Exploratory wholebrain results replicated previous findings of hyperperfusion in the hippocampus, striatum and midbrain in CHR patients, and provided novel evidence of increased rCBF in inferior-temporal and lateral-occipital regions in patients under CBD compared to placebo. Conclusions: Our findings suggest that CBD may partially normalise alterations in hippocampal blood flow associated with the CHR state and therefore merits further investigation as a potential novel treatment for this population.