diff --git a/packages/storybook/package.json b/packages/storybook/package.json
index 89efb585bf..51718f78fe 100644
--- a/packages/storybook/package.json
+++ b/packages/storybook/package.json
@@ -33,8 +33,8 @@
     "@storybook/react": "^5.2.5",
     "@storybook/web": "^5.2.5",
     "@storybook/addon-knobs": "^5.2.5",
-    "babel-loader": "^7.5.4",
-    "@babel/core": "^8.0.6"
+    "babel-loader": "^8.0.6",
+    "@babel/core": "^7.5.4"
   },
   "dependencies": {
     "@nrwl/cypress": "*",
@@ -42,8 +42,6 @@
     "tree-kill": "1.2.1",
     "ts-loader": "5.3.1",
     "tsconfig-paths-webpack-plugin": "3.2.0",
-    "webpack-node-externals": "1.7.2",
-    "to-string-loader": "^1.1.5",
-    "html-loader": "^0.5.5"
+    "webpack-node-externals": "1.7.2"
   }
 }
diff --git a/packages/storybook/src/schematics/configuration/lib-files/.storybook/webpack.config.js__tmpl__ b/packages/storybook/src/schematics/configuration/lib-files/.storybook/webpack.config.js__tmpl__
index e38dde6c55..50e725e6c9 100644
--- a/packages/storybook/src/schematics/configuration/lib-files/.storybook/webpack.config.js__tmpl__
+++ b/packages/storybook/src/schematics/configuration/lib-files/.storybook/webpack.config.js__tmpl__
@@ -3,6 +3,7 @@ const rootWebpackConfig = require('<%= offsetFromRoot %>../.storybook/webpack.co
 module.exports = async ({ config, mode }) => {
   config = await rootWebpackConfig({ config, mode });
   <% if(uiFramework === '@storybook/react') { %>
+  config.resolve.extensions.push('.tsx');
   config.module.rules.push({
     test: /\.(ts|tsx)$/,
     loader: require.resolve('babel-loader'),
diff --git a/packages/storybook/src/schematics/configuration/root-files/.storybook/webpack.config.js b/packages/storybook/src/schematics/configuration/root-files/.storybook/webpack.config.js
index a90baaa82b..c718e76b0e 100644
--- a/packages/storybook/src/schematics/configuration/root-files/.storybook/webpack.config.js
+++ b/packages/storybook/src/schematics/configuration/root-files/.storybook/webpack.config.js
@@ -4,37 +4,7 @@ module.exports = async ({ config, mode }) => {
   // You can change the configuration based on that.
   // 'PRODUCTION' is used when building the static version of storybook.
 
-  r = config.module.rules.filter(rule => rule.test != '/\\.css$/');
-
   // Make whatever fine-grained changes you need
-  r.push({
-    test: /\.css$/,
-    use: [
-      'to-string-loader',
-      {
-        loader: 'style-loader'
-      },
-      {
-        loader: 'css-loader',
-        options: {
-          sourceMap: true
-        }
-      }
-    ]
-  });
-
-  config.module.rules = r;
-  config.resolve.extensions.push('.tsx');
-
-  let scssLoader = config.module.rules.find(i => !!'a.scss'.match(i.test));
-  if (scssLoader && scssLoader.use) {
-    scssLoader.use = ['to-string-loader', ...scssLoader.use];
-  }
-
-  let htmlLoader = config.module.rules.find(i => !!'a.html'.match(i.test));
-  if (htmlLoader) {
-    htmlLoader.loader = 'html-loader';
-  }
 
   // Return the altered config
   return config;
diff --git a/packages/storybook/src/schematics/init/init.ts b/packages/storybook/src/schematics/init/init.ts
index a13c4394cb..fba801f90a 100644
--- a/packages/storybook/src/schematics/init/init.ts
+++ b/packages/storybook/src/schematics/init/init.ts
@@ -30,10 +30,7 @@ function checkDependenciesInstalled(): Rule {
         { name: '@storybook/react', version: storybookVersion },
         { name: '@storybook/addon-knobs', version: storybookVersion },
         { name: 'babel-loader', version: babelLoaderVersion },
-        { name: '@babel/core', version: babelCoreVersion },
-        { name: 'to-string-loader', version: '*' },
-        { name: 'html-loader', version: '*' },
-        { name: 'css-loader', version: '*' }
+        { name: '@babel/core', version: babelCoreVersion }
       );
     }
     if (