On March 14, 1681, William Penn received a charter from the King of England for a grant of land to establish a colony in the New World. This colony was named Pennsylvania, or Penn's Woods. The Township of London Britain was organized in 1725 from a tract of land belonging to the London Company of Great Britain. The southernmost part of the township was originally disputed territory between Pennsylvania and Maryland, resolved eventually by the Mason–Dixon line. The southernmost section of the township formed the northern section of New Munster, a large settlement tract established by Maryland and named after the southern province of Munster in Ireland. New Munster acted as an early genesis point and catalyst for large Scotch-Irish settlement and expansion into Chester County and points west in Pennsylvania. Lunn's Tavern and the Thompson Farm are listed on the National Register of Historic Places.
At the 2010 census, the township was 93.5% non-Hispanic White, 1.3% Black or African American, 0.1% Native American, 1.4% Asian, and 1.5% were two or more races. 2.3% of the population were of Hispanic or Latino ancestry. As of the census of 2000, there were 2,797 people, 957 households, and 829 families residing in the township. The population density was 283.4 people per square mile. There were 979 housing units at an average density of 99.2/sq mi. The racial makeup of the township was 96.53% White, 0.89% African American, 0.04% Native American, 0.93% Asian, 0.04% Pacific Islander, 0.39% from other races, and 1.18% from two or more races. Hispanic or Latino of any race were 1.68% of the population. There were 957 households, out of which 43.7% had children under the age of 18 living with them, 81.0% were married couplesliving together, 3.6% had a female householder with no husband present, and 13.3% were non-families. 10.6% of all households were made up of individuals, and 2.9% had someone living alone who was 65 years of age or older. The average household size was 2.92 and the average family size was 3.15. In the township the population was spread out, with 28.9% under the age of 18, 4.6% from 18 to 24, 26.4% from 25 to 44, 32.2% from 45 to 64, and 7.8% who were 65 years of age or older. The median age was 40 years. For every 100 females, there were 103.3 males. For every 100 females age 18 and over, there were 100.5 males. The median income for a household in the township was $93,521, and the median income for a family was $97,013. Males had a median income of $66,600 versus $44,141 for females. The per capita income for the township was $35,761. About 2.1% of families and 1.7% of the population were below the poverty line, including 1.2% of those under age 18 and 4.1% of those age 65 or over.