The invention relates to a composite material with anti-bacterial and purifying functions and a preparation method of the composite material, and belongs to the technical field of environmental-friendly materials. The composite material with the anti-bacterial and purifying functions comprises raw materials in parts by weight as follows: 70-95 parts of a mineral composite adsorption material, 3-25 parts of a photocatalytic degradation material, 2-15 parts of a rare earth inorganic anti-bacterial material and 1-10 parts of an additive, wherein the mineral composite adsorption material is prepared from sepiolite, diatomite, medical stone and attapulgite; the photocatalytic degradation material is prepared from titanium oxide, tourmaline and far infrared ceramic powder; the rare earth inorganic anti-bacterial material is prepared from zinc oxide, cerium oxide and silver oxide; the additive is a mixture of activated carbon, carboxymethylcellulose and pumice powder. The composite material with anti-bacterial and purifying functions has high adsorption and decomposition rate, can be resistant to water and damp and has excellent anti-bacterial effect. Meanwhile, the invention provides the preparation method. According to the preparation method, the cost is low, the amount of produced wastewater is low, and powder is simple and convenient to apply.