Roman being devised from the term "Bona Castra" meaning "good camp" and on nearby Bonchester Hill 322 m to the east of the village, it is topped by a hill fort.

In 1701 the town's coaching inn "The Horse and Hound" was opened, although the building there today dates from rebuilding over 100 years later by James Chisholme. The bridge in the name dates from the 19th century when a toll road was constructed from the pass over the Cheviots on the England/Scotland border at Carter Bar