The Shrewsbury and Birmingham Railway was authorised in 1846. It agreed to joint construction with others of the costly Wolverhampton to Birmingham section, the so-called Stour Valley Line. This work was dominated by the hostile London and North Western Railway, which used underhand and coercive tactics. The section between Shrewsbury and Wellington was also built jointly, in this case with the Shropshire Union Railway.
The S&BR opened from Shrewsbury to its own Wolverhampton terminus in 1849. The Stour Valley Line was still delayed by the LNWR, but the S&BR eventually got access to it in 1852. By this time it was obvious that the LNWR was an impossible partner, and the S&BR allied itself to the Great Western Railway, which reached Wolverhampton in 1854. The S&BR merged with the GWR in 1854. With the S&BR and other absorbed railways, the GWR obtained a through route between London and the River Mersey at Birkenhead, and to Manchester and Liverpool by the use of running powers.
The S&BR route was an important part of this main line until the 1960s, when electrification of former LNWR routes compelled concentration of long-distance traffic elsewhere, and the line became a secondary route, still in important passenger operation.
The S&BR line had the distinction of having at one time the northernmost section of GWR broad gauge usage, and much later the first section of the former GWR to have overhead electrification.