The book came into being when David Fickling, an editor at Oxford University Press, approached Steve Jackson and Ian Livingstone with the idea of creating a gamebook aimed at younger children.: 31 Fickling's concept was "a work that would attract readers with vibrant illustrations, instead of offering a wide range of choices or using dice," but Jackson showed no interest in works for children.: 31 However, Jackson's idea stemmed from this to make "vibrant illustrations" the subject of the book itself, rather than merely a cover design.: 31
Inspired by the twelve Labours of Hercules in Greek mythology, Jackson believed that a similar concept could open up new possibilities in Fighting Fantasy, and so he began working on designing the puzzles.: 31–32 During his July train journey from Edinburgh to London, Jackson had figured out 10 of the 12 puzzles.: 32
Jackson and Fickling then began searching for an illustrator, but finding someone willing to undertake such a voluminous project that would take two years was not easy.: 32–33 Finally, Stephen Lewis, whom Fickling brought in, was completely thrilled with the idea for this book, and he and Jackson had several lunches at pubs, engaging in heated discussions.: 33 Initially, the book was titled The Tasks of Tantalus, but it was later renamed The Tasks of Tantalon after it was discovered that there was a character named Tantalus in Greek mythology.: 33
When the book was published in September 1985, Jackson began receiving hundreds of letters from readers seeking hints and answers.: 33–34 However, no publisher was willing to publish only the answer key, as it wouldn't generate significant sales.: 34 Therefore, Jackson self-published and distributed a booklet containing hints for this book.: 30