Originally founded as the West of England Hydropathic Establishment in 1860, the hydro was owned by Charles Jupe and Son and managed by Thomas Preston, formerly of a hydro in Matlock. Dr David Danzell was Resident Physician responsible for the administration of 'all the modern appliances of Hydrotherapy', though the Turkish baths were not added till 1862.

The hydro continued under various owners until the turn of the century when its provision of hydropathic treatments declined and it became more of a normal hotel, changing its name to Limpley Stoke Hydro Hotel. Its Turkish baths were, nevertheless, refurbished in 1899 and they continued to be provided until at least the beginning of World War II, when the building was taken over by the Abbey National Building Society for the duration.

The Hotel re-opened after the war and still exists as Limpley Stoke Hotel.