diff --git a/README.md b/README.md
index 9f5b7d7a..02d46c71 100644
--- a/README.md
+++ b/README.md
@@ -464,7 +464,7 @@ which will inject the element `<base href="http://example.com/some/page.html" ta
 
 ### Long Term Caching
 
-For long term caching add `contenthash/templatehash` to the filename.
+For long term caching add `contenthash` to the filename.
 
 **Example:**
 
@@ -476,15 +476,9 @@ plugins: [
 ]
 ```
 
-`contenthash/templatehash` is the hash of the content of the output file.
+`contenthash` is the hash of the content of the output file.
 
-Optionally, You can configure like `[<hashType>:contenthash:<digestType>:<length>]`
-
-* `hashType` - one of `sha1`, `md5`, `sha256`, `sha512`  or any other node.js supported hash type
-* `digestType` - one of `hex`, `base26`, `base32`, `base36`, `base49`, `base52`, `base58`, `base62`, `base64`
-* `maxlength` - maximum length of the generated hash in chars
-
-**Defaults:** `[md5:contenthash:hex:9999]`
+Refer webpack's [Template Strings](https://webpack.js.org/configuration/output/#template-strings) for more details
 
 ### Events
 
diff --git a/index.js b/index.js
index eb74aeb1..45f286ad 100644
--- a/index.js
+++ b/index.js
@@ -14,7 +14,6 @@ const vm = require('vm');
 const fs = require('fs');
 const _ = require('lodash');
 const path = require('path');
-const loaderUtils = require('loader-utils');
 const { CachedChildCompilation } = require('./lib/cached-child-compiler');
 
 const { createHtmlTagObject, htmlTagObjectToString, HtmlTagArray } = require('./lib/html-tags');
@@ -132,8 +131,7 @@ class HtmlWebpackPlugin {
       ...global,
       HTML_WEBPACK_PLUGIN: true,
       require: require,
-      htmlWebpackPluginPublicPath:
-      publicPath,
+      htmlWebpackPluginPublicPath: publicPath,
       URL: require('url').URL,
       __filename: templateWithoutLoaders
     });
@@ -189,13 +187,6 @@ function hookIntoCompiler (compiler, options, plugin) {
     options.filename = path.relative(outputPath, filename);
   }
 
-  // `contenthash` is introduced in webpack v4.3
-  // which conflicts with the plugin's existing `contenthash` method,
-  // hence it is renamed to `templatehash` to avoid conflicts
-  options.filename = options.filename.replace(/\[(?:(\w+):)?contenthash(?::([a-z]+\d*))?(?::(\d+))?\]/ig, (match) => {
-    return match.replace('contenthash', 'templatehash');
-  });
-
   // Check if webpack is running in production mode
   // @see https://github.com/webpack/webpack/blob/3366421f1784c449f415cda5930a8e445086f688/lib/WebpackOptionsDefaulter.js#L12-L14
   const isProductionLikeMode = compiler.options.mode === 'production' || !compiler.options.mode;
@@ -249,21 +240,12 @@ function hookIntoCompiler (compiler, options, plugin) {
             compilation.errors.push(prettyError(templateResult.error, compiler.context).toString());
           }
 
-          const compiledEntries = 'compiledEntry' in templateResult ? {
-            hash: templateResult.compiledEntry.hash,
-            chunk: templateResult.compiledEntry.entry
-          } : {
-            hash: templateResult.mainCompilationHash
-          };
-
-          const childCompilationOutputName = compilation.getAssetPath(options.filename, compiledEntries);
-
           // If the child compilation was not executed during a previous main compile run
           // it is a cached result
           const isCompilationCached = templateResult.mainCompilationHash !== compilation.hash;
 
           /** The public path used inside the html file */
-          const htmlPublicPath = getPublicPath(compilation, childCompilationOutputName, options.publicPath);
+          const htmlPublicPath = getPublicPath(compilation, options.filename, options.publicPath);
 
           /** Generated file paths from the entry point names */
           const assets = htmlWebpackPluginAssets(compilation, sortedEntryNames, htmlPublicPath);
@@ -288,7 +270,7 @@ function hookIntoCompiler (compiler, options, plugin) {
               assets.favicon = faviconPath;
               return getHtmlWebpackPluginHooks(compilation).beforeAssetTagGeneration.promise({
                 assets: assets,
-                outputName: childCompilationOutputName,
+                outputName: options.filename,
                 plugin: plugin
               });
             });
@@ -306,7 +288,7 @@ function hookIntoCompiler (compiler, options, plugin) {
                   ...generateFaviconTags(assets.favicon)
                 ]
               },
-              outputName: childCompilationOutputName,
+              outputName: options.filename,
               publicPath: htmlPublicPath,
               plugin: plugin
             }))
@@ -320,7 +302,7 @@ function hookIntoCompiler (compiler, options, plugin) {
               return getHtmlWebpackPluginHooks(compilation).alterAssetTagGroups.promise({
                 headTags: assetGroups.headTags,
                 bodyTags: assetGroups.bodyTags,
-                outputName: childCompilationOutputName,
+                outputName: options.filename,
                 publicPath: htmlPublicPath,
                 plugin: plugin
               });
@@ -351,7 +333,7 @@ function hookIntoCompiler (compiler, options, plugin) {
           const injectedHtmlPromise = Promise.all([assetTagGroupsPromise, templateExectutionPromise])
           // Allow plugins to change the html before assets are injected
             .then(([assetTags, html]) => {
-              const pluginArgs = { html, headTags: assetTags.headTags, bodyTags: assetTags.bodyTags, plugin: plugin, outputName: childCompilationOutputName };
+              const pluginArgs = { html, headTags: assetTags.headTags, bodyTags: assetTags.bodyTags, plugin: plugin, outputName: options.filename };
               return getHtmlWebpackPluginHooks(compilation).afterTemplateExecution.promise(pluginArgs);
             })
             .then(({ html, headTags, bodyTags }) => {
@@ -361,7 +343,7 @@ function hookIntoCompiler (compiler, options, plugin) {
           const emitHtmlPromise = injectedHtmlPromise
           // Allow plugins to change the html after assets are injected
             .then((html) => {
-              const pluginArgs = { html, plugin: plugin, outputName: childCompilationOutputName };
+              const pluginArgs = { html, plugin: plugin, outputName: options.filename };
               return getHtmlWebpackPluginHooks(compilation).beforeEmit.promise(pluginArgs)
                 .then(result => result.html);
             })
@@ -372,16 +354,15 @@ function hookIntoCompiler (compiler, options, plugin) {
               return options.showErrors ? prettyError(err, compiler.context).toHtml() : 'ERROR';
             })
             .then(html => {
-              // Allow to use [templatehash] as placeholder for the html-webpack-plugin name
-              // See also https://survivejs.com/webpack/optimizing/adding-hashes-to-filenames/
-              // From https://github.com/webpack-contrib/extract-text-webpack-plugin/blob/8de6558e33487e7606e7cd7cb2adc2cccafef272/src/index.js#L212-L214
-              const finalOutputName = childCompilationOutputName.replace(/\[(?:(\w+):)?templatehash(?::([a-z]+\d*))?(?::(\d+))?\]/ig, (_, hashType, digestType, maxLength) => {
-                return loaderUtils.getHashDigest(Buffer.from(html, 'utf8'), hashType, digestType, parseInt(maxLength, 10));
-              });
+              const filename = options.filename.replace(/\[templatehash([^\]]*)\]/g, require('util').deprecate(
+                (match, options) => `[contenthash${options}]`,
+                '[templatehash] is now [contenthash]')
+              );
+              const replacedFilename = replacePlaceholdersInFilename(filename, html, compilation);
               // Add the evaluated html code to the webpack assets
-              compilation.emitAsset(finalOutputName, new webpack.sources.RawSource(html, false));
-              previousEmittedAssets.push({ name: finalOutputName, html });
-              return finalOutputName;
+              compilation.emitAsset(replacedFilename.path, new webpack.sources.RawSource(html, false), replacedFilename.info);
+              previousEmittedAssets.push({ name: replacedFilename.path, html });
+              return replacedFilename.path;
             })
             .then((finalOutputName) => getHtmlWebpackPluginHooks(compilation).afterEmit.promise({
               outputName: finalOutputName,
@@ -519,6 +500,38 @@ function hookIntoCompiler (compiler, options, plugin) {
       });
   }
 
+  /**
+   * Replace [contenthash] in filename
+   *
+   * @see https://survivejs.com/webpack/optimizing/adding-hashes-to-filenames/
+   *
+   * @param {string} filename
+   * @param {string|Buffer} fileContent
+   * @param {WebpackCompilation} compilation
+   * @returns {{ path: string, info: {} }}
+   */
+  function replacePlaceholdersInFilename (filename, fileContent, compilation) {
+    if (/\[\\*([\w:]+)\\*\]/i.test(filename) === false) {
+      return { path: filename, info: {} };
+    }
+    const hash = compiler.webpack.util.createHash(compilation.outputOptions.hashFunction);
+    hash.update(fileContent);
+    if (compilation.outputOptions.hashSalt) {
+      hash.update(compilation.outputOptions.hashSalt);
+    }
+    const contentHash = hash.digest(compilation.outputOptions.hashDigest).slice(0, compilation.outputOptions.hashDigestLength);
+    return compilation.getPathWithInfo(
+      filename,
+      {
+        contentHash,
+        chunk: {
+          hash: contentHash,
+          contentHash
+        }
+      }
+    );
+  }
+
   /**
    * Helper to sort chunks
    * @param {string[]} entryNames
diff --git a/package.json b/package.json
index c814d399..d8855a78 100644
--- a/package.json
+++ b/package.json
@@ -28,7 +28,6 @@
     ]
   },
   "devDependencies": {
-    "@types/loader-utils": "2.0.1",
     "@types/node": "11.13.9",
     "commitizen": "4.2.1",
     "css-loader": "5.0.1",
@@ -45,9 +44,9 @@
     "standard-version": "9.1.0",
     "style-loader": "2.0.0",
     "typescript": "4.1.3",
-    "webpack": "5.23.0",
+    "webpack": "5.24.3",
     "webpack-recompilation-simulator": "3.2.0",
-    "webpack-cli": "4.2.0"
+    "webpack-cli": "4.5.0"
   },
   "dependencies": {
     "@types/html-minifier-terser": "^5.0.0",
diff --git a/spec/basic.spec.js b/spec/basic.spec.js
index 572d7740..794e14c6 100644
--- a/spec/basic.spec.js
+++ b/spec/basic.spec.js
@@ -951,7 +951,24 @@ describe('HtmlWebpackPlugin', () => {
     }, ['<script defer="defer" src="index_bundle.js"'], /test-\S+\.html$/, done);
   });
 
-  it('should allow filename in the format of [<hashType>:contenthash:<digestType>:<length>]', done => {
+  it('should work with hash options provided in output options', done => {
+    testHtmlPlugin({
+      mode: 'production',
+      entry: {
+        index: path.join(__dirname, 'fixtures/index.js')
+      },
+      output: {
+        path: OUTPUT_DIR,
+        filename: '[name]_bundle.js',
+        hashDigestLength: 16
+      },
+      plugins: [
+        new HtmlWebpackPlugin({ filename: 'index.[contenthash].html' })
+      ]
+    }, [], /index\.[a-z0-9]{16}\.html/, done);
+  });
+
+  it('should allow filename in the format of [contenthash:<length>]', done => {
     testHtmlPlugin({
       mode: 'production',
       entry: {
@@ -962,9 +979,9 @@ describe('HtmlWebpackPlugin', () => {
         filename: '[name]_bundle.js'
       },
       plugins: [
-        new HtmlWebpackPlugin({ filename: 'index.[sha256:contenthash:base32:32].html' })
+        new HtmlWebpackPlugin({ filename: 'index.[contenthash:4].html' })
       ]
-    }, [], /index\.[a-z0-9]{32}\.html/, done);
+    }, [], /index\.[a-z0-9]{4}\.html/, done);
   });
 
   it('will replace [contenthash] in the filename with a content hash of 32 hex characters', done => {
@@ -980,7 +997,7 @@ describe('HtmlWebpackPlugin', () => {
       plugins: [
         new HtmlWebpackPlugin({ filename: 'index.[contenthash].html' })
       ]
-    }, [], /index\.[a-f0-9]{32}\.html/, done);
+    }, [], /index\.[a-f0-9]{20}\.html/, done);
   });
 
   it('will replace [templatehash] in the filename with a content hash of 32 hex characters', done => {
@@ -996,7 +1013,7 @@ describe('HtmlWebpackPlugin', () => {
       plugins: [
         new HtmlWebpackPlugin({ filename: 'index.[templatehash].html' })
       ]
-    }, [], /index\.[a-f0-9]{32}\.html/, done);
+    }, [], /index\.[a-f0-9]{20}\.html/, done);
   });
 
   it('allows you to use an absolute output filename', done => {