No. 136 squadron was officially formed on 1 April 1918 at Lake Down, as a service unit -not a training unit-, working up for the Airco DH.9, using a variety of aircraft. Following Air Ministry letter C4519 of 4 July of that year however it was disbanded, together with 12 other such units. Plans to reinstate the squadron in September as laid out in Air Organisation Memorandum 939 of 13 July 1918 came to nought as Air Organisation Memorandum 999 of 17 August 1918 cancelled these.
En route however the destination was changed to the Far East, following the news of Pearl Harbor and the sinking of and. On arrival in India the squadron was redirected to Burma, arriving there at Rangoon in early February 1942. However, because of the fast advance of the Japanese forces it was necessary to withdraw the squadron back to India again, 26 February to Dum Dum and a day later Asansol, and before the squadron had chances to become really operational. Attacks by the Japanese forces and accidents had the squadron with only six flyable Hurricanes left by this time.
India and Burma
Regrouped as an operational squadron on 31 March 1942 around Alipore, still on Hurricanes, the squadron provided convoy patrols and air defence of the Calcutta area, but in December it began operating detachments over the Burmese front and by the end of the month it moved to Chittagong to continue these operations from there. Returning to India at RAF Amarda Road in November 1943 for a training course, the squadron meanwhile had converted to Spitfire Mk.Vs in October and returned to the Burmese front with them in December 1943.
In January 1944 the Spitfire Mk.Vs went to another unit and were replaced with Spitfire Mk.VIIIs. In July the squadron moved to Ceylon, flying from Ratmalana and later from Minneriya. At the end of March 1945, the Squadron ground echelon had left for the Cocos Islands and the squadron's aircraft began flying upon completion of the airstrip there a month later.
Malaya
After the Japanese surrender the squadron re-located to RAF Tengah, Singapore in October and from there went on to Kuala Lumpur, Malaysia in November 1945, where they received Spitfire Mk.XIVs and where it remained until 8 May 1946, when the squadron embarked for India. Arriving in Bombay, the squadron was disbanded on 8 May 1946 by being renumbered to No. 152 Squadron RAF.