Iran: Introductory country profile

For research on the US-Israel attacks on Iran in 2026 and Iranian counterstrikes see the Commons Library collection page, Iran in 2026.

Since the overthrow of the last Shah of Iran in 1979 and the establishment of the Islamic Republic, the UK and Iran have often been in tension. Recent UK Governments have called for Iran to curtail its nuclear programme, its support for armed and terrorist groups abroad, its state threat activities in the UK, and human rights violations internally.

This briefing introduces Iran’s politics, human rights, economy and international relations, including with the UK, United States and Arab Gulf states. It also signposts further reading and recent UK Parliament material.

Political system and politics

Iran’s political system established after 1979 contains multiple centres of political power, including an elected parliament and president. They act within a system of clerical power known as the “guardianship of the Islamic Jurist”. The supreme leader oversees most aspects of state, including security and foreign policy. A Guardian Council, half appointed by the Leader and other by the parliament, certifies candidates for elected office and permits laws to pass. It has often disqualified many reformists from standing.

Reformists have typically advocated for engaging more with the West, a greater role for elected bodies, and lessening restrictions on women and girls, rather than removing the Islamic Republic. Following the 2024 elections, Iran’s parliament is dominated by non-reformists. Mahmoud Pezeshkian, who won the 2024 presidential elections with the backing of some reformists, has not implemented significant changes in domestic or foreign policy.

Turnout in recent elections has fallen to historic lows, suggesting a weakening state legitimacy. It coincides with increased national protests and violent responses by the security forces, including most recently in early 2026.

Economic challenges and sanctions

Since 1979, Iran has been one the world’s most sanctioned countries. These include US sanctions on Iran’s oil exports, strengthened under the Trump administration’s “maximum pressure” campaign. Around 90% of Iran’s oil exports in recent years has flowed to China, though their overall value has fallen due to sanctions. Up to a third of state budgets come from oil revenue.

Noting the effects of sanctions and declining oil income, in 2025 the World Bank projected that Iran’s economy would shrink in both 2025 and 2026, and that annual inflation would rise towards 60%. In addition to economic challenges, drivers of recent protests have been discontent at corruption and weaknesses in state capacity, including providing water and energy.

Iran in the region and its nuclear programme

Under the last Shah, Iran was a strategic ally to the US and the UK in the Middle East, but since his overthrow in 1979 relations have often been tense. Past cooperation with Israel has been replaced by competition and hostilities.

Through its support for armed and terrorist groups abroad, Iran has sought to export its 1979 revolution while also stating it is acting to protect Shia Muslims in Sunni-majority states. Through arming groups abroad, it also seeks to battle its enemies and competitors in other countries, though this has been less effective and uncoordinated in the regional conflict of 2023 to 2026. Iran has historically been able to exploit weakened states, backing Hezbollah in 1980s Lebanon or militia groups in Iraq after the US-led invasion in 2003. The Islamic Revolutionary Guard Corps (IRGC) has been central to this work.

Iranian interest in a nuclear programme pre-dates the 1979 revolution and it was not until 2003 that Iran was assessed by the US to have abandoned development of nuclear weapons. International sanctions expanded as Iran’s wider nuclear activity continued until a deal was reached in 2015. Under this, Iran was to curtail its nuclear activity while sanctions would be gradually lifted. However, following US withdrawal from the agreement in 2018, Iran has stepped up its enrichment activity and in 2025 the UK, France and Germany triggered the snapback mechanism of the deal. This reimposed all UN sanctions previously lifted. US/Israeli strikes targeted nuclear sites in 2025.

Iran-UK relations and UK Government action

The UK maintains an embassy in Iran, and says it regularly raises concerns for the human rights situation in Iran as well as Iranian foreign and nuclear policy. At the UN human rights council in 2022, the UK co-sponsored the creation of an independent international fact-finding mission on Iran.

The UK applies a range of sanctions against Iran, targeting its nuclear programme, support for armed groups abroad, human rights violations, and its support for Russia in Ukraine and threats to dissidents and others abroad.

In 2025, the government placed Iran on the enhanced tier of the foreign influence registration scheme. This mandates registration for any activities carried out in the UK at the direction of Iranian state bodies, including the IRGC. The UK sanctions the IRGC in its entirety, but in 2026 the government is planning to create new powers targeting state-backed organisations (PDF).