In 1831, the Admiralty ordered for Victory to be broken up and her timbers reused in other vessels but were met with public outcry. Instead, she was left moored in Portsmouth harbour where her condition continued to deteriorate as a result of human traffic, natural decay, and a series of leaks. In 1921 she was in a critical condition, sparking a Save the Victory campaign which was led by Sir James Caird, Baronet of Glenfarquhar (1864-1954), a shipowner and the principal donor in creating the National Maritime Museum, Greenwich. On 12 January 1922 she was moved into No. 2 dock in Portsmouth, the oldest dry dock in the world still in use, where she underwent an initial period of restoration until 1929. She remains there to this day as a museum ship.

This painting was likely completed by Paterson to record a final view of Victory afloat at Portsmouth before she was moved to her permanent berth. He was a founding member of the Society of Eight, a group of predominantly Scottish artists which aimed to bridge the divide between Glasgow and Edinburgh and included Sir John Lavery, R.A., R.S.A., R.H.A. (1856-1941) and Patrick William Adam, R.S.A. (1852-1929). This painting was displayed at an exhibition of the Society at the New Gallery in Edinburgh in December 1922 and again in January 1927, situated within a period of heightened interest in Victory which was defined by her restoration and renewal.