In 1899, the British government created the Imperial Yeomanry to reinforce the regular army during the Second Boer War, and the existing Yeomanry Cavalry regiments were asked to provide volunteers. The Royal Gloucestershire Hussars contributed a contingent of 125 men, around half of whom were existing members, the remainder being recruited into the regiment when they enlisted for service in South Africa. They were folded into the Imperial Yeomanry as 3rd Company, 1st Battalion, which arrived in South Africa in 1900 and saw its first action on 5 May at Thaba 'Nchu. It served for 18 months, as mounted rifles rather than cavalry, and came under fire 65 times, though more men were lost to sickness than enemy action. On their return to the UK in July 1901, the men of the 1st Battalion were absorbed back into their parent regiments, and the veterans of the Royal Gloucestershire Hussars endowed the regiment with its first battle honour, "South Africa 1900–01".