The first forward step in church extension by the Anglican Communion in Melbourne was the founding of St. Peter's, Eastern Hill. The main facts of the movement are found here and there in the meagre records of early Melbourne religious life. The story may be briefly told.

Early in the year, 1841, when the homely building where the first congregation worshipped was about to give place to the substantial and commodious St. James's, it was found that, owing to the growth of the town and the increase of the Anglican population, an additional sanctuary would be required to meet existing demands.

At that time Eastern Hill and the regions beyond were dotted with the cottage homes of the well-to-do of the community. To the Anglicans resident there is credited the initiation of the movement to plant a church in their midst. The practical result of that desire was announced at a meeting held on the 23rd June, 1841, when it was stated that £300 had been subscribed for the object without much solicitation. This sum appears to have been devoted to building a commodious room in Little Bourke Street, near Spring Street, where, towards the end of the year, religious services were conducted by the Rev. James Yelverton Wilson. In 1843 the erection of a permanent edifice was a burning question, and at a largely attended and enthusiatic meeting, held on the 13th November, in the temporary building - which, by the way, was known as "Beaver's Room" - it was stated that £250 was available for the purpose, and an effort was made to increase the amount to £400, in order "that application could be made to the Executive for land grants for church, parsonage and school-house, as well as the pecuniary aid to which the oongregation would be entltled under the Church Act Regulations."

It is probable that there were circumstances of difficulty and discouragement at this stage, which led to the remark of a chronicler, "No one dreamed at the time that a couple of years would pass before any real building commencement would be made." At all events, it was not till January, 1846, that the Government consented to give £1,000, with the usual proviso that a like sum should he raised by contributions. The people seemed to have worked with a will, for a few months later, trustees were appointed, the commanding site on the crest of the Eastern Hill was granted, plans, etc. for an imposing structure approved, and a tender for the erection of the church accepted. The foundation, or corner-stone of the building, was laid in the presence of an influential gathering on the 18th June, 1846, by the superintendent of the district, his Honor Charles Joseph Latrobe. The proceedings were exhaustively detailed in the "Port Phillip Herald" of the 19th June, a framed and glazed copy of which is carefully preserved in the vestry of St. Peter's until now. The building was opened for divine worship towards the end of 1847. It may be added here that during the ministry of the present incumbent the church has been twice enlarged as well as beautified; and that the old schoolhouse and the old parsonage have given place to handsome buildings adapted to the latest modern requirements for social life and religious work.

No reference is made in the old records beyond that already referred to regarding the services in the temporary place of worship or who conducted them. With the opening of St. Peter's, or shortly afterward, the Rev. Daniel Newham, M.A., was appointed the first incumbent. He is spoken of as being an able, scholarly man, of a much amiability of character, and "a good minister of Jesus Christ." After about three years devoted service, he "fell on sleep" at the early age of 35 years. He was succeeded by the Ven. Thomas Hart Davies, M.A., Archdeacon of Melbourne, who, after a year's service, returned to England. During 1853 the Rev. David Wood was his locum tenens, and from 1854 onwards the Rev. Henry Hewett Paulet Handfield has been incumbent. Canon Handfield is a son of the late Capt. Edward Handfield, R.N., and was born in Dublin. He was educated at the world-famous Grammar School of Uppingham, and at the Collegiate Institution, Liverpool. He arrived in Melbourne with Bishop Charles Perry, was ordained Deacon on St. Thomas's Day, and priest a year later. He holds the appointments of Rural Dean of Melbourne, Canon of St. Paul's, Theological Lecturer at Trinity College, and Chaplain to the Victorian Forces. His ministry has been marked by rare wisdom and success in conducting the affairs of the church, and also by great ability in the pulpit. As a preacher, he stands among the first in point of learning, reach of thought, and general effectiveness. As a pastor, he is faithful, devoted, helpful, and sympathetic.

Of late years St. Peter's, like some of its once prosperous neighbors, has suffered by the trend of the population to distant residential suburbs. However, the congregation Sunday forenoon was a considerable one, both in quantity and quality, who followed the order of worship in a spirit of deep devotion. Tho Rev. Charles Edward Drought, who has been nominated to the curacy by the incumbent, read the beautiful service, with devotional feeling and impressiveness. Canon Handfield preached. He has the advantage of a fine presence and a head and countenance suggestive of a high order of ability. His bearing, while dignified and courtly, is characterised by wonderful simplicity and unobtrusiveness. He has a melodious, deeply sympathetic voice, and a grace of speech which charms and holds his hearers. His sermons bear evident traces of careful, thoughtful preparation, and are free from any doctrinal narrowness; indeed, it is probable that he has never felt himself called to fix with precision the metes and bounds of Christian doctrine.