The Gallery owes its origins to Mrs Ada Susan Tatham who collected donations early in 1903 and purchased works in Britain later that same year. After an initial exhibition the collection was first housed in the Pietermaritzburg City Hall. In 1923 the collection was greatly enhanced through the donations of Lieutenant Colonel R.H. Whitwell.

The Tatham Art Gallery forms part of the Msunduzi Municipality and is governed by a Board of Trustees.