Collins first played the title role of Shirley Valentine at the Vaudeville Theatre in London in 1988. She won that year's Olivier award for best actress.
The following year she reprised the role on Broadway, New York, where she picked up numerous prizes including a prestigious Tony award.
The film of the same name was released later that year.
Her other films included 1991's City of Joy with Patrick Swayze, filmed in Calcutta, which brought her wider recognition globally.
Born in Exmouth, Devon, in 1940, Collins was raised near Liverpool and started out her career as a teacher.
Her love of the stage led her to take up acting on a part-time basis, and in 1957 she had a cameo role as a nurse in the Emergency Ward 10 TV series.
Her film debut came in Secrets of a Windmill Girl in 1966, playing a fictional dancer in a London striptease nightclub, the Windmill Theatre.
After a number of stage roles, she used her Liverpool accent to land a leading role on The Liver Birds in 1969.
She starred as Dawn in five episodes before she left to be replaced by Nerys Hughes, who played the role of Sandra.
She also starred in five episodes of Doctor Who, but told The Guardian in 2012 that after appearing in the show as Samantha Briggs in 1967, she was offered another 39 episodes but turned them down.
"I thought it was like a prison sentence. Maybe it would have given me a profile early in my career, but then I would have missed so many things," she said.