Avalon School was founded in 1907 on Townfield Road, West Kirby, by three women, including Miss Ada Stephens, who became the first Headmistress. As pupil numbers grew, the school relocated to larger premises on Grosvenor Road in 1925, where it adopted the name "Avalon" and introduced the first version of its distinguished badge, featuring the phoenix symbol.

In the 1990s, Headmaster Christopher Kirch made the decision to make Avalon fully co-educational, as previously, boys left after completing their nursery years.

In 2001, the school became a charitable trust, governed by a board of trustees. In the years that followed, the school expanded with new facilities, including a purpose-built block for younger nursery children, a new administration building, and a science laboratory. Today, Avalon proudly honours its rich traditions and heritage while embracing opportunities for future growth and development.