The tradition is that the Beothuk predated English settlement. This is suggested both by such nearby place names as Indian Burying Place qv, Indian Tickle, and Indian Head, as well as by local archaeological evidence. Permanent English settlement occurred about two years after the last known Beothuk was captured in 1823. It is likely, therefore, that most contacts occurred during the earlier period of temporary settlement. One oral tradition affirms that a Mr. King, an Englishman who had settled at Round Harbour, took his family to the Island in the fall of 1805, only to have his boat and supplies taken by the Beothuk on his first night there.
Residents report that the first permanent English settler, a Budgell from Triton, arrived in 1825, but stayed only a few years. He was followed by John Campbell from St. John's, who became the first community leader. Little Bay Islands is first recorded in the 1845 Census, with three families making up a population of 45. During the 1850s and 1860s the population increased rapidly as people moved in from the older settled areas of eastern Notre Dame Bay, such as Twillingate, Herring Neck and Tizzard's Harbour. Of the 42 surnames among the 120 families living on the Island in 1942, the principal ones were: Grimes, James, Jones, King, Locke, Oxford, Penney, Roberts, Strong, Stuckless, Tucker, Weir and Wiseman. While most of the first settlers came to Little Bay Islands from the older populated areas of Notre Dame Bay, some may have come directly from Britain -- the 1884 Census records eight residents born in England and three in Scotland.
The first trader to supply Little Bay Islands was Thomas Knight from St. John's, who supplied nearly all the early settlers in this part of Notre Dame Bay. Later, firms from Twillingate, particularly the firm of E.J. Duder, began to supply the Island. Before long people built their own vessels and sailed to Twillingate themselves. George Jones and William Mursell were supplying the Island by the 1870s. Joseph and James M. Strong qv also established a business in the early 1870s, which in 1889 (as the Little Bay Island Packing Co.) became a general supplier for the inshore, French Shore and Labrador fisheries. Incorporated as James Strong Ltd. in 1923, it grew to be one of Newfoundland's largest fish-packing and exporting establishments by the 1940s, and was involved in the marketing of produce from around Notre Dame Bay, such as vegetables, meat, wood and lumber.
The local cod fishery, supplemented by seals, salmon, herring, mackerel and lobster (4,000 cases were tinned one summer), has been the traditional employer for Little Bay Islands' residents. However, beginning in 1859 when George Jones took a schooner from Twillingate to Labrador, the Labrador fishery became central to the Island's economy. The 1921 Census reports 116 men on 14 vessels involved in that fishery. Many residents also fished on the French Shore each summer.
As a commercial centre Little Bay Islands employed people in various other occupations. One of the more important was the schooner-building industry, which in some winters built as many as three schooners either on the Island or in nearby Hall's Bay. The 1884 Census records that seven `mechanics' were employed in the community. While most residents engaged in marginal mixed farming, the 1884 Census records two farmers. Smallwood (1941) also noted the existence of a large mink ranch as well as a Postal Savings Bank.
Early residents on Little Bay Islands were nearly all Wesleyan. By 1866 they had constructed their first church. The first minister known to be stationed in the community was the Reverend F. Scott in 1867, but he had no doubt been preceded by visiting clergy. The first reference to a school on the Island is in the 1874 Census and the first teacher recorded for the community was a Mr. L. Picott who taught there from 1873 to 1876. The Salvation Army arrived on the Island around 1897 and shortly after a citadel was built at Sulian's Cove. School was taught in the citadel until a building was constructed in 1927.
Little Bay Islands' population began to decline in the 1950s and by 1971 was reduced to 394, but there was a brief resurgence in the community starting in the mid-1970s. Several factors contributed to this. S.T. Jones and Son, the Island's main employer, operated a crab and seal factory, a cooperage, a shipyard, a fish plant and the main general store. At this time most modern conveniences, such as electricity, telephones, roads, adequate educational facilities and a water system, the lack of which had caused so many people to leave earlier, began to be introduced. In addition a ferry system connecting Little Bay Islands (and nearby Long Island) with St. Patrick's on the mainland greatly reduced the Island's isolation. But by the late 1980s the population was again on the decline as the local economy experienced another downturn when fish supplies, particularly crab and squid, became depleted.
