Hundreds of angry Iranians, whom Iran described as "students", converged outside the UK embassy compound before climbing the walls, ransacking its offices and burning British flags.
Diplomats working at the Iranian embassy in London have been ordered to leave the country by Friday afternoon.
It has been called the worst crisis between the UK and Iran since full diplomatic relations were restored in 1999.
Tuesday's attack followed Britain's decision to impose further sanctions on Iran over its nuclear programme.
Is the West looking for an excuse to get tougher with Iran? And what impact could this renewed pressure have inside Iran?
Inside Story presenter Hazem Sika discusses with guests: Oliver Miles, a former UK ambassador; Rami Khouri, the director of the Issam Fares Institute for Public Policy and International Affairs at the American University of Beirut; and Ghanbar Naderi, an Iranian political analyst.