It was founded in memory of St. Guthlac early in the eighth century by Ethelbald, King of Mercia, but was entirely destroyed and the community slaughtered by the Danes in 866.

Refounded in the reign of King Edred, it was again destroyed by fire in 1091 and rebuilt. In 1170 the greater part of the abbey and church was once more burnt down and once more rebuilt. From this time the history of Croyland was one of growing and almost unbroken prosperity down to the time of the Dissolution. Richly endowed by royal and noble visitors to the shrine of St. Guthlac, it became one of the most opulent of East Anglian abbeys.