The chapel at Old Royd was established following a disagreement about an organ. A group of members broke away from the congregation at the Wesleyan Methodist Church at Mankinholes and formed their own society at Old Royd. At first, they held their meetings in a school room close by. They opened their own chapel on 29th June 1882 at a cost of £700. This included a few attached cottages.
In 1934 the congregation moved, complete with the chapel artifacts, to the United Free Methodist Church at Lumbutts, itself formed by an earlier break-away group from Mankinholes Chapel.