The museum occupies part of the former RAF Sandtoft, an operational bomber airfield during the Second World War. RAF Sandtoft was disposed of by the RAF in 1958 and the site was acquired for the museum in November 1969. Since that time, volunteers have transformed a barren site into a museum with the addition of workshop, vehicle depot and exhibition building. The first event held was the Sandtoft Gathering in 1971, an event which is still held annually.

The museum is recognised as having the largest collection of preserved trolleybuses in Europe, if not the world, with over 60 examples. Whilst the exhibits are predominantly from the UK, a collection of international examples is growing at the museum. Apart from trolleybuses and transport, the museum also features a collection of 1950s/60s memorabilia. Over the years, many items related to the trolleybus era have been donated. A 1950s/1960s street scene features shop windows, complete with displays, whilst the prefab utility bungalow, previously used as the museum's souvenir shop, has now been fitted out as a home to show even more of these period artefacts.

In 2011, the museum was the largest trolleybus museum in Britain, housing some 50 vehicles, including some imported from abroad, and about half of this number could be used to give rides to the public over an oval two-way circuit. By 2019, the number of vehicles had increased to over 60. The museum is open on selected days only, as detailed on its website.