A piece of land measuring one square and seven acre i.e. (256 Kanals) situated on Ferozpur, Road, Lahore about 17 kilometers from Lahore was proposed for beggar house. The foundation was laid down by her Excellency Begum Naheed Sikandar Mirza W/O Governor General of Pakistan on 27-02-1958. The first phase of the building was completed in late 1958. An opening ceremony was held on 30-09-1958 by her Excellency Begum Naheed Sikandar Mirza.

Due to some reasons the proposed beggar house plan was sacked and it was decided by the then Government to provide Health facilities to the general public. Hence the birth of Lahore General Hospital took place in the early 1959. The opening ceremony of Lahore General Hospital was done by his Excellency MR. AKHTAR HUSSAIN, the Governor West Pakistan on 29-01-1959. Lahore General Hospital started functioning in the existing building of proposed Beggar House. At that time, Hospital was used as convalescent home for the over flow of patients of Mayo Hospital, Lahore and there were no proper treatment / Diagnostic facilities available at Lahore General Hospital.

The department of Neurosurgery of King Edward Medical College, Lahore was setup at Lahore general Hospital in 1966. This department was housed in old building temporarily till 1981. Then after the birth of Postgraduate Medical Institute Lahore in 1974, Lahore General Hospital Lahore was affiliated with Postgraduate Medical Institute in July, 1975. Except the department of Neurosurgery, T.B & Chest; these both departments were remain attached with K.E.M.C, Lahore. In April 1984, new neurosurgery / Physiotherapy were completed, and these departments were shifted in new building (Neurosurgery Block).

In 1995, on the shifting of Allama Iqbal Medical College to new campus, Jinnah Hospital complex was affiliated with AIMC and PGMI was shifted to Services Hospital, Lahore. The Lahore general hospital was attached with AIMC. This continued till 31-05-1997. then again LGH was attached with PGMI on 31-05-1997. At present all these departments are attached with PGMI Lahore, including Neurosurgery Department

On 01-07-1998 LGH was declared as an Autonomous hospital. Dr. Sabiha Khurshid Ahmad was appointed as 1st Chief Executive of this hospital. After the autonomy, new well equipped Operation Theators of Urology and Orthopadic were started, which lowered the huge burden of SOT, SOT was renovated and new Recovery Room added to it. A laundry plant was also installed. Seven rooms for private patients declared in general side in addition to eighteen rooms of Neurosurgery Department.