The name Broughty Ferry derives from Brugh or Burgh Tay, referring to the castle standing on a shallow tip projecting into the Firth.

Originally, Broughty Ferry, was a small fishing village, around the harbour of Partan Craig, or Crab Rock. The town's scenic location has meant that it has become a convenient commuter town for workers in nearby Dundee. Before the completion of the Tay Road Bridge the town saw much traffic, as the ferry from Tayport served as the principal access to Dundee from the south.