Palethorpe gained an immediate place in the Wednesday first team, somewhat controversially replacing the popular Neil Dewar as Wednesday's centre forward. He made his debut on 15 December 1934 against Everton and scored his first goals on Boxing Day, a hat-trick against Birmingham City. In the second half of that season Palethorpe played an integral part in Sheffield Wednesday's excellent run and eventual triumph in the FA Cup of that season scoring goals in the third and fourth rounds as well as one in the semi-final win over Burnley at Villa Park. However his most important goal came in the 4–2 final triumph against West Bromwich Albion when he put Wednesday a goal up inside two minutes after receiving a pass from Ronnie Starling and shooting just inside the post. Despite a good record of 17 goals in 34 matches in all competitions, Palethorpe was once again on his way to another club in September 1935 as he joined Aston Villa for £2,500.