A rail service was provided by the Oldham Loop Line that was built by the Lancashire and Yorkshire Railway.

Oldham rose to prominence during the 19th century as an international centre of textile manufacture.

Oldham's soils were too thin and poor to sustain crop growing, and so for decades prior to industrialisation the area was used for grazing sheep, which provided the raw material for a local woollen weaving trade.

In 1851, over 30% of Oldham's population was employed within the textile sector, compared to 5% across Great Britain.

[9][10] By 1871 Oldham had more spindles than any country in the world except the United States, and in 1909, was spinning more cotton than France and Germany combined.

The Bank of England set up the Lancashire Cotton Corporation in 1929 to attempt to rationalise and save the industry.