The party was founded in 1988 by Edison James, Julius Timothy, Norris Prevost, Dennis La Bassiere and others. In the 1990 elections, the UWP won 6 of the 21 seats and became the official opposition. In 1995, the UWP won 11 seats at the general elections forming the first UWP government headed by Edison James as prime minister. At the 31 January 2000 elections, the party won 43.3% of the popular vote and 9 out of 21 elected members of parliament. Though it captured the most popular votes, it got fewer seats than the Dominica Labour Party. The party was therefore once again in opposition. James continued to lead the party, which set up a tough campaign for the 5 May 2005 elections, but lost 1 seat. After the election, this time receiving fewer votes than the Dominica Labour Party, the party held 8 seats in Parliament and remained in opposition. In December 2005, James stood down as political leader and was replaced by Attorney Earl Williams, Minister of Communications and Works in the last UWP administration. Williams defeated founding member and then Deputy Leader Julius Timothy who also sought the leadership of the party. As a result Timothy, the Minister of Finance under the UWP government, left the party and crossed the floor to join the Dominica Labour Party government. This resulted in the UWP being reduced to seven seats in Parliament.
In the general election held in December 2009, the UWP lost four of its seven seats, including the seat of party leaderRonald Green. The UWP subsequently filed litigation in the Roseau High Court challenging the results of five constituencies, including that of Prime MinisterRoosevelt Skerrit, and demanding a new general election; pending the results, the three UWP members boycotted parliament. After two UWP members did not attend three consecutive sessions, Speaker of the HouseAlix Boyd Knights declared their seats vacant in April, and a by-election was scheduled for 9 July 2010. Both UWP members ran and won their seats again in the by-election, against the same candidates they faced in the 2009 general election. UWP member Hector John was sworn in as Leader of the Opposition on 19 July 2010. Four of the six UWP legal petitions were dismissed in August 2010. The UWP members are expected to end their boycott, citing as a reason the President's announcement that funds would be made available for election reform. Edison James was reelected political leader of the UWP at its January 2012 convention, and Ezekiel Bazil was elected the party's president.