As early as 1825, Exeter merchants held a meeting to discuss the possibility of building a railway connection from Exmouth to the city.

However the proposal — estimated to cost £50,000 — was discontinued when the Corporation of the City of Exeter agreed to extend the canal southwards to Turf, opposite Topsham, enabling 400 ton vessels to reach the head of the canal by passing a difficult reach of the river channel.

The financial frenzy subsided and the front-running proposal was to build a standard-gauge line from about the location of the present-day Exeter Central station, following the eastern bank of the river Exe and terminating at Exmouth.

Joseph Locke was appointed engineer, and parliamentary authorisation was received on 3 July 1846 for the Exeter and Exmouth Railway.

However at the shareholder meeting, the shareholders appointed a committee to review the cost of the construction, (estimated at £94,435) and the committee reported back rejecting the lease to the broad gauge interest, and recommending altering the route of the line to join the anticipated route of the L&SWR into Exeter.

[4][page needed] The engineer of the line was W. R. Galbraith and the contractor for Topsham to Exmouth was James Taylor of Exeter, for the sum of £39,000.

Absorption of the Exeter and Exmouth Company by the L&SWR was authorised by Act of 5 July 1865, taking effect on 1 January 1865.

Passenger trains in the early days were worked by Beattie 2-2-2 well tanks, with a varied collection of coaching stock transferred from elsewhere on the L&SWR system.

[2][page needed] The branch to Topsham quay was 700 yards (640 m) long, and was opened by the L&SWR on 23 September 1861; the purpose was to facilitate the transfer of goods, principally to Exeter, from ships too large to reach the city direct.

The main traffic in the 1930s was guano imported from South America, and destined for Odam's fertiliser factory, less than a mile away.

The contractors were Henry Lovatt & Sons and the engineer was J. W. Jacomb-Hood of the L&SWR, and the line was built as an integral part of the larger company.

From 1906 the L&SWR introduced steam railmotors in the Exeter area to Honiton on the main line, as a response to the competitive threat from street tramways.

A new halt was opened at Lions Holt on 26 January 1906, between Exeter Central and Blackboy Tunnel, on the main line.

Two Drummond H13 class steam railcars, nos 5 and 6, had been operating local stopping services on the main line to Honiton, and from 1 June 1908 they (and presumably sister units) operated shuttle trains between Exeter Queen Street and Topsham also, with ten services each way (five on Sundays).

The towns and cities served are: The route follows the West of England Main Line in the suburbs of Exeter before diverging to the south.

There is a ferry service from Exmouth harbour to Starcross railway station on the opposite shore of the River Exe.

[citation needed] The line is double track from Exeter St Davids to Exmouth Junction, but is single thereafter except for a passing loop at Topsham, where many trains are scheduled to cross each other.

All movements on the line are under the control of the signal box at Exmouth Junction, which remotely operates the level crossing at Topsham as well as the loop there.

The numbers of passengers using the line each year have shown an increase in particular Digby & Sowton and St James Park.

The increases in descending order from there are Topsham by 89%, Polsloe Bridge by 82%, Exton by 60%, Lympstone Village by 31% and the smallest with Exmouth by 6%.