SSP was formed through a split in the Praja Socialist Party (PSP) in 1964.

In 1972, SSP was reunited with PSP, forming the Socialist Party.

[2] But in December 1972, SSP was recreated after the split in Socialist Party.

[3] One faction of SSP led by Madhu Limaye and George Fernandes wanted to merge with PSP but another faction led by Raj Narain resisted the merger with PSP.

The SSP merged with Charan Singh's Bharatiya Kranti Dal, Swatantra Party and Utkal Congress to form Bharatiya Lok Dal.