The BRDC was founded in April 1928 by Dr. J. Dudley Benjafield, a member of the "Bentley Boys." While it began as a social club for Benjafield and his fellow drivers, its 25 inaugural members established four primary objectives: "To promote the interests of motor sport generally. To celebrate any specific achievement in motor sport. To extend hospitality to racing drivers from overseas. To further the interests of British drivers competing abroad."
The club moved into race promotion in 1929 with the BRDC 500-Mile Race at Brooklands. The inaugural race was won by Jack Barclay and F.C. Clement in an unsupercharged Bentley 4½ Litre. The 1930 event was accorded International status and was won outright by the Earl of March and S.C.H. Davis in an Austin Seven. From 1935 to 1939, the club also published Speed, a monthly magazine that was later incorporated into Motor Sport.
Following World War II, the BRDC raised funds to assist the Automobile Club de l'Ouest in rehabilitating the Le Mans circuit, which had been damaged by Allied bombing. In 1952, the club took over the lease of Silverstone from the RAC. After forming Silverstone Circuits Limited in 1966 and purchasing the circuit in 1971, the club and its subsidiary managed the development of the site. In addition to the British Grand Prix, the club organized other notable events such as the BRDC International Trophy.
In recent years, the relationship between the BRDC board and Bernie Ecclestone's Formula One Management became a contentious issue. These disputes centered on the costs associated with the British Grand Prix and the state of the circuit's infrastructure. The club also manages the BRDC Marshals' Club, BRDC Club Races, the BRDC 500 Summer Races, and the BRDC Walter Hayes Trophy.
Membership in the BRDC is by invitation and generally restricted to British or Commonwealth drivers who have achieved success at the upper levels of motor sport for several seasons. Full membership has been awarded to every British or Commonwealth Formula One World Champion. While women have been elected as Honorary Members since 1928 (beginning with Jill Scott), they were not eligible for Full Membership until 1994.
The club presidency has been held by former Formula One world champions including Sir Jackie Stewart and Damon Hill. David Coulthard replaced Paddy Hopkirk as president in July 2019. Peter Digby has served as the club's chairman since 2022, following previous chairmen such as Stuart Rolt and Robert Brooks.
The development of young British talent is a central part of the club's modern activities. The BRDC is involved in the annual Aston Martin Autosport BRDC Award and operates the Stars of Tomorrow karting championship. In 2008, the club created the BRDC SuperStars program to provide advice and financial support to promising drivers. This program was initially directed by 1992 BTCC champion Tim Harvey and is currently led by Andy Meyrick.