The station was opened in May 1867, as part of the second stage of the Central Wales Extension Railway's line from the Llandrindod Wells to Llandovery.

Llangammarch and the other towns in the area were also promoted by the LNWR for the healing properties of their mineral waters, leading to the addition of 'Wells' to the station name here (and elsewhere) in the 1880s and the construction of a company-owned hotel nearby (this still survives, though it is now a private house).

It did however lose both its goods handling facilities and station staff in the summer of 1964, when through freight traffic ended and passenger services were converted to diesel operation.

The main building remained intact (though in an increasingly dilapidated state) until 1980, when it was finally demolished and replaced by a basic wooden shelter.

[1] The station has only basic amenities (brick and timber waiting shelter, timetable information board and bench seating) though it has been fitted with a digital CIS display and customer help point (like others on the line).