The band was formed when Jake Black met Rob Spragg at an acid house party in Peckham and they decided that a fusion of country music with acid house was a musical possibility.Other members of the band were accumulated over a lengthy period, but it is known that Rob Spragg was at university with Piers Marsh, the harmonica player and synth programmer for the band whilst Orlando Harrison, the group's current keyboardist, used to live with Jake Black. Prior to the formation of the Alabama 3 Jake had gone through his "wilderness years" period of which there is little or no recorded output. This creative gulch lasted years following the demise of The Jangletties.

Starting their act under the alias 'The First Presleyterian Church Of Elvis The Divine (UK)' they eventually switched names to Alabama 3 and, after having been dismissed by the mainstream media as a novelty act, the group finally signed to One Little Indian records in 1997 for the release of their debut album 'Exile on Coldharbour Lane'.

In August 2007, they toured under the name of 'Alabama 3: Acoustic and Unplugged' with Devlin Love to promote their new album, M.O.R. (released September 10, 2007. Bassist John 'Segs' Jennings has apparently left the band, saying he is "busy elsewhere and [he doesn't] have the time". The album M.O.R includes a cover of Jerry Reed's 1970s hit 'Amos Moses' and features The Proclaimers on the track 'Sweet Joy'.

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