Peaslake developed as a small farming and forestry hamlet in the heart of the Surrey Hills. The name may derive from "peas" and "leah" (a woodland clearing), suggesting a place where crops were grown in a forest opening. For centuries it was a quiet community of a few dozen houses scattered along the lanes, its economy tied to the surrounding woodland and the common land of the Hurtwood.
The Hurtwood itself has a long history as common land, used by local people for grazing, fuel gathering, and the collection of bracken for animal bedding. The sandy soils and mixed woodland of pine, birch, and oak created a landscape quite different from the surrounding clay farmland. In the 19th century, the area attracted artists and writers drawn to its scenery, and several large houses were built along the lanes for wealthy Londoners seeking country retreats.
The defining moment in Peaslake's recent history came in 1993, when Surrey County Council closed the village school as part of cost-cutting measures. Rather than accept the decision, residents formed a charitable trust and reopened it as an independent school, funding it entirely without public money. The school continues to operate as the Peaslake Free School, and its survival became a widely cited example of community resilience. The story says much about the character of the place. In more recent decades, the village stores found new life as a destination for mountain bikers riding the trails through the Hurtwood. The shop's homemade pastries, particularly the pork slices, became famous enough in cycling circles to draw riders from London and beyond. On any weekend the village is busy with muddy bikes propped against walls and cyclists refuelling at the benches outside.