The original location of Muang Tha Uthen was at present-day tambon Chaiburi, then named Chai Rit Uttaburi (ไชยฤทธิ์อุตตบุรี).
It was founded in 1808 by the Tai Nyo leader Thao Mo and his wife, Sunantha, who moved people from Muang Hongsavadi of present-day Laos.
Thao Prathum was the first leader of Tha Uthen city and received the title Phra Sri Worasan.
In 1870 King Mongkut assigned his son, Phra Sri Worarat, to be the leader of Tha Uthen.
Later the Ministry of Interior decided that the city should no longer have a royal family member as its leader, but be led by an assigned governor.