The locality of Spencers Brook was originally a land grant to Spencer Trimmer on the 9 December 183. In May 1839. Spencer Trimmer sold the land to T.R.C. Walters for 450 pounds. After T.R.C. Walters death his heirs sold the land in 1874 to Thomas Wilding.
In 1883-1884 Thomas Wilding drew up the plans for a townsite to be placed around the terminus at Spencers Brook. This townsite was originally going to be called New York but later changed to Brookton. However, the railway siding was called Spencers Brook, and this eventually became the official name for the town.
The town was laid out with 150 half acre blocks. Street names were called Thomas Street, Rose Terrace (after his wife), Robinson Street (the Governor), Fraser Street (Colonial Secretary), Forrest Street (Surveyor General) and Cowan Street (York Resident magistrate).
The township of Spencers Brook started as a minor railway siding in 1885 however by 1895 it was upgraded to a Junction. The railway was a significant junction between the Perth - Kalgoorlie lines and the Beverley – Albany lines. It operated until 1966.
Spencers Brook has also been home to a hotel, racecourse, grain depot, dairy, brickmakers, a blacksmith’s shop and during WWII a supply depot.
Agriculture flourished in the area with many progressive farms of Thomas Wilding, Alfred Wilding, Herbert Hancock, George Throssel, C Hammersley and A Dempster.