The first Europeans arrived in 'Circular Head' in 1826. The township was later renamed 'Stanley' in 1842 after Lord Stanley. Stanley became a bustling community and the population was recorded as 233 in 1848. There were 20 shops, 60 houses and cottages, a church and parsonage, a school, house of correction, police office and magistrate's house, customers house, post office - and of course the Stanley Hotel! During the 1850's the sheltered deep-sea port was thriving and was essential for the farming districts as a service center.

The terraced streets, heritage buildings and landmarks have changed little since those times.

Today fishing and tourism are Stanley's main industries.