The effects of drying to various relative humidity (RH) levels on the internal structure of hydrated cement paste were investigated using small‐angle neutron scattering (SANS). Specimens of young and mature portland cement paste were analyzed in the initial saturated state, in the dried state, and then again after resaturation, allowing reversible and irreversible effects to be separated. While the observed changes on drying are mainly physical in nature, the ability of the microstructure to resist permanent structural rearrangement increased over time as the hydration and aging reactions progressed. Permanent changes to the nanometer‐to‐micrometer scale microstructure induced by drying were quantified by applying a fractal model to the SANS data for resaturated pastes. At RH levels above ≈54%, capillary stresses compact the nanometer‐level pore structure of the calcium–silicate–hydrate (C–S–H) gel phase, increasing the gel density by a mechanism related to that governing the classical “constant rate period” for pure gels. Owing to the restraining effects of the other solid phases in cement paste, this decrease in the volume of the C–S–H gel also increases the intensity of surface fractal scattering that arises from the deposition of hydration product onto the surface of the reacting cement particles. At all RH levels, but particularly below 54%, drying decreases the measured total internal surface area of the specimens. This is attributed to a loss of surface area at particle contacts as the average separation distance between adjacent C–S–H gel nanoparticles decreases on drying.