The album was recorded in the spring of 1985 at Hansa Tonstudio in Berlin, and was produced by Chris Kimsey, who previously worked with the Rolling Stones. Misplaced Childhood became the band's most commercially successful album to date, immediately reaching number one in the UK charts and spending a total of 41 weeks on the charts. As a result, he received platinum status. It features two of Marillion's most successful singles — the guitar rock ballad "Kayleigh", which reached number two in the UK and the piano "Lavender", which reached number five.
Misplaced Childhood was named the sixth best album of 1985 by Kerrang! and was chosen as the fourth greatest concept album of all time by Classic Rock in 2003.