The railway arrived at Bridgwater on 14 June 1841 when the Bristol and Exeter Railway opened its line. This was the terminus of the line for a year while the Somerset Bridge was constructed over the River Parrett; the line was extended to Taunton on 1 June 1842.

During the period that the station was a terminus it became a focus for horse-drawn coaches that met the trains and carried their passengers onwards. An accident happened when one of these was overturned on the level crossing that was situated at the south end of the platforms, although the only serious injury was a bystander who broke an ankle - the coach driver and passengers were largely unscathed. An hotel was built just outside the station entrance which has since been demolishd, but the houses provided for the company's staff can still be seen.

The Bristol and Exeter Railway was initially operated by the Great Western Railway but from 1 May 1849 the company operated its own trains. The engine shed closed in July 1960, following which shunting locomotives were brought up from Taunton as required. Goods traffic at the station was withdrawn from November 1965 and, following the closure of the docks branch and Dunball Wharf in 1967, the goods yard was rationalised. Most of the sidings that served the former carriage works at the south end of the station were taken out of use by 1969.

The facade of the station has been little altered and the whole is an unusually complete example of a Victorian station. The booking office, although modernised, retains a rare early ticket counter.