It was one of a number of 'free schools' created by James I in 1608 to provide an education to the sons of local merchants and farmers during the plantation of Ulster.

[2] The Royal School, Donegal was one of the schools originally established as part of a plan to provide education for children of the settlers who had arrived with the Ulster Plantation.

The original intention was to establish a school in the counties of Armagh, Tyrone, Londonderry, Fermanagh, Donegal and Cavan.

The original school was built in Donegal Town but was relocated to Raphoe in 1661.

[4] It is now a mixed school which attracts students from throughout the county.