The Town of Cambridge came into existence formally on 1 July 1994 as the result of the restructuring of the former City of Perth by the Western Australian State Government.

The creation of the Town has provided an excellent opportunity for the re-evaluation and revitalisation of Local Government in those suburbs and communities within the new Town - an eminently identifiable area encompassing City Beach, Floreat, Wembley, West Leederville and parts of Jolimont, Mount Claremont, Daglish and Wembley Downs.