In 1933, Imperial Airways issued a specification to Avro, for a light airliner to transport four passengers for up to 420 mi (676 km) at a cruising speed of 130 mph (210 km/h).

This had to be revised when Imperial Airways changed the specification, to enable the machine to fly the Karachi-Bombay-Colombo night mail service.

[1] On 11 March 1935, the two Avro 652s were delivered to Imperial Airways at Croydon Airport.

They served with No.3 E&RFTS (Elementary and Reserve Flying Training School) as navigational trainers, at Hamble airfield.

In July 1941, both were transferred to the Fleet Air Arm, and served with 811 Squadron at RNAS Lee-on-Solent (HMS Daedalus), until struck off charge in March 1942.