Interdigitated dielectrometry sensors (IDS) are capacitive sensors investigated to precisely measure the relative permittivity (ϵr) of insulating liquids. Such liquids used in the power industry exhibit a change in ϵr as they degrade. The IDS ability to measure ϵr in-situ can potentially reduce maintenance, increase grid stability and improve safety. Noise from external electric field sources is a prominent issue with IDS. This paper investigates the novelty of applying a Faraday cage onto an IDS as a 3D shield to reduce this noise. This alters the spatially distributed electric field of an IDS affecting its sensing properties. Therefore, dependency of the sensor’s signal with the distance to a shield above the IDS electrodes has been investigated experimentally and theoretically via a Green’s function calculation and FEM. A criteria of the shield’s distance s = s0 has been defined as the distance which gives a capacitance for the IDS equal to 1 − e−2=86.5% of its unshielded value. Theoretical calculations using a simplified geometry gave a constant value for s0/λ = 1.65, where λ is the IDS wavelength. In the experiment, values for s0 were found to be lower than predicted as from theory and the ratio s0/λ variable. This was analyzed in detail and it was found to be resulting from the specific spatial structure of the IDS. A subsequent measurement of a common insulating liquid with a nearby noise source demonstrates a considerable reduction in the standard deviation of the relative permittivity from σnormalunshielded=±9.5% to σnormalshielded=±0.6%. The presented findings enhance our understanding of IDS in respect to the influence of a Faraday shield on the capacitance, parasitic capacitances of the IDS and external noise impact on the measurement of ϵr.