Mohamed Ali annexed the two palayams of Ariyalur and Udayarpalayam located within the present Ariyalur District on the grounds of default in payment of Tributes and failure to assist him in quelling the rebellion of Yusuf Khan. In November 1764, Mohamed Ali represented the issue to Madras Council and obtained military assistance on 3rd January 1765. The forces led by Umdat-Ul-Umara and Donald Campbell entered Ariyalur and captured it. The young Poligar together with his followers, there upon fled to Udayarpalayam. On the 19th of January, the army marched upon Udayarpalayam. The Poligar’s troops were defeated and the palayams were occupied. The two poligars fled their town and took refuge in Tharangampadi, then a Danish Settlement. The annexation of the palayam gave the Navab un-interrupted possession of all his territories extending Arcot to Tiruchirappalli.
The history followed was a power struggle between Hyder Ali and later Thippu Sultan with the British. After the death of Thippu Sultan, the British took the civil and military Administration of the Carnatic in 1801. Thus Tiruchirappalli came in to the hands of the English and the District was formed in 1801. In 1995 Tiruchirappalli was trifurcated and the new Perambalur and Karur districts were formed.
Composite Perambalur District came in to existence after trifurcation of Tiruchirappalli district with effect from 30.09.1995 as per G.O MS.No 913 Revenue / Y3 dated 30.09.1995. In the Government Orders G.O (Ms)No. 656, Revenue, Dated. 29.12.2000 and G.O (Ms)No. 657, Revenue, Dated. 29.12.2000 , the Government ordered Perambalur District to be bifurcated into two Districts , Perambalur District with headquarters at Perambalur and Ariyalur District with headquarters at Ariyalur. Subsequently, in the Government orders G.O (Ms)No. 167, Revenue, Dated. 19.4.2002, and G.O (Ms)No. 168, Revenue, Dated. 19.4.2002 , Government ordered that the above two districts be merged into one as Perambalur District with headquarters at Perambalur.
In the Government Order G.O (Ms) NO. 683 Dated. 19.11.2007 Government passed orders that Perambalur District be reorganised and bifurcated again into two districts Perambalur and Ariyalur, out of which Perambalur district with Headquarters at Perambalur consists of one Revenue Division of Perambalur and four Taluks of Perambalur, Kunnam, Veppanthattai and Alathur. It is bounded on the North by Cuddalore and Salem Districts, South by Tiruchirappalli, East by Ariyalur District, West by Tiruchirappalli and Salem Districts.
The District is bound on the North by Cuddalore and Salem Districts, South by Tiruchirappalli, East by Ariyalur District, West by Tiruchirappalli and Salem Districts.