The arms were granted on June 11, 1902.
ALLOA, as Alway, was confirmed as a Burgh of Regality in 1497 in favour of Alexander, 3rd Lord Erskine, and later in 1620, was erected into a Burgh of Regality in favour of John, 7th Lord Erskine and 2nd Earl of Mar, Lord High Treasurer of Scotland.
The arms show a ship which bears on its sail the arms of the Earls of Mar & Kellie and the Erskine banner at its stern. These allude to the long-standing shipping and shipbuilding interests of the town and the close connections with the Erskine family, of which the Earl of Mar & Kellie is the Head.
The green chief represents agriculture and on it are two symbols of other local industries; the golden garland of barley and hops is for whisky distilling and brewing and the golden fleece for woollen manufacturing.
The griffin crest is taken from the supporters of the Earls of Mar & Kellie and the same colours are used; a griffin had been used on the Burgh seal and was carved on the seventeenth-century Town Cross.