At its peak the line extended from the city to Speers Point and West Wallsend.
The service was rarely profitable, and low utilisation for a variety of reasons including the convenience of buses led to it closing and the tracks being removed.
With the pending electrification of the tram system, construction of a new depot was commenced at Gordon Street, Hamilton in 1918.
[2] In the 1930s poor patronage and competition from bus services led to the realisation that trams were not paying their way.
During the Great Depression, there was not the political will to remove a service that provided jobs and cheap transport, however by the late 1930s this had changed and the Port Waratah and Carrington lines were closed in 1938.
Fuel rationing meant that buses were not allowed to run services where trams operated.
The Parnell Place terminus was damaged during the Japanese shelling of Newcastle on 8 June 1942.
Originally proposed in February 1901, the line to Carrington did not enter service until 23 September 1912.
The extension to Ridge Street was eventually completed with services commencing on 21 September 1903.
Direct competition with a free ferry from the Steelworks lead to the realization that the line would be under utilised.
A trial was conducted on 11 February 1920, however the line was never opened, eventually being abandoned and removed.
The loop was later enlarged towards the east to allow more trams to lay up while waiting for race goers.
It connected Newcastle with the main residential suburbs including Hamilton, Broadmeadow, Lambton, Jesmond, Plattsburg and Wallsend.
The line was progressively electrified from 1924 the first fully electric service to Wallsend running on 26 December 1925.
Initially ex-Sydney self-propelled D1 class double decked trams were used on the system.
Due to the Australian Agricultural Company rail bridge over Hunter Street and the overhead rail bridge to the Lambton Colliery between Hobart and Howe streets, the top deck was removed meaning that the capacity was severely reduced.
In addition to the self-propelled trams, Baldwin style steam locomotives were used to haul C1 and C2 Class trailers.
Their electrical parts were removed and they were used as steam trailers, however they were only used on the very busiest days, such as major race meetings.
It follows the path taken by the Wallsend Tram from Howe Street and includes a cutting through Lambton Hill.
[9][10] The steady shallow gradient required for tram operations is ideal for cyclists.
LP 284 was moved to the depot for restoration[11] and then put on display at the museum's new location.