The club has its roots in the student team from the Catholic
Capuchin school in Nuevo París, which began playing in 1908. The club took on the name
Liverpool as there were many cultural links between the two areas; the majority of coal ships arriving in Montevideo came from the English port. A number of clubs took on Anglicised names, such as league rivals
Montevideo Wanderers. Liverpool plays home matches in
Estadio Belvedere (Belvedere Stadium), formerly owned by the Montevideo Wanderers. In 2023 Liverpool won the
Primera División for the first time. They filled one of the final slots as they had the highest overall point tally during the entire season, while also filling one of the semi-final slots, as they had won the Clausura that year as well. They lost to
Peñarol in the semi-finals 1–0 in extra time, due to a 119th minute goal by former Uruguay international
Abel Hernández. In the finals, however, things played out differently. Liverpool won 3–0 on aggregate, recording a 2–0 win at home, and a 1–0 win during the return leg. This triumph marked the first since the
2013–14 season that a club besides
Club Nacional de Football or
Peñarol won the
Primera División. This was also the first time that a Uruguayan club won its first
Primera División title since
1990. ==CONMEBOL appearances==