Yazoo were formed in late 1981 in Basildon, Essex, by Vince Clarke (synthesiser) and Alison Moyet (vocals). According to Moyet, the moniker ’Yazoo’ came from the labels of old blues albums - Yazoo Records, although they were renamed to Yaz for the US market because Yazoo was already in use by a small American rock band. Debut single "Only You" (backed with "Situation") was released in March 1981, climbing to number 2 in the UK, with follow up single “Don't Go” (July 1982) reaching number 3. Subsequent debut album “Upstairs at Eric's” reached number 2 in the UK Album chart, and went platinum. In the US, “Only You” and “Situation” were released as separate singles, reaching numbers 67 and 73 respectively, and “Upstairs at Eric’s” reached number 92, but eventually reached platinum status (over 1 million copies) 7 years later in 1989.

”Nobody’s Diary”, the first single from their sophomore album “You and Me Both”, reached number 3 in the UK, with “You and Me Both” topping the UK Album chart, and making number 69 in the US. However, shortly before its release, Clarke and Moyet announced they were to go their separate ways. Clarke recorded a single as The Assembly with producer Eric Radcliffe and Undertones singer Feargal Sharkey, and also produced "The Face of Dorian Gray" for his friend and singer Robert Marlow. He then went on to form synth pop group Erasure with vocalist Andy Bell. Meanwhile, Moyet signed to Columbia Records and began a successful solo career.

A compilation entitled “Only Yazoo - The Best of” was released in 1999, reaching number 22 in the UK Album chart. This was preceded by a re-release of "Only You". The band's songs have appeared in TV and films - "Only You" was used the BBC’s “The Office” and the film “Can't Hardly Wait”, and “Don't Go” appeared in the BBC’s “I'm Alan Partridge”, was used in the film “Tango and Cash”, and can be heard in the “Grand Theft Auto: Vice City Stories” video game. “In Your Room”, a box set featuring mixes of “Upstairs at Eric's” and “You and Me Both” along with a disc with B-sides and remixes was released in 2008.