Prime Minister Mohammad Mosaddegh rides on the shoulders of cheering crowds in Tehran after reiterating his oil nationalisation plans. AP
Prime Minister Mohammad Mosaddegh rides on the shoulders of cheering crowds in Tehran after reiterating his oil nationalisation plans. AP
Prime Minister Mohammad Mosaddegh rides on the shoulders of cheering crowds in Tehran after reiterating his oil nationalisation plans. AP
Prime Minister Mohammad Mosaddegh rides on the shoulders of cheering crowds in Tehran after reiterating his oil nationalisation plans. AP

Diplomatic blunder stopped Shah of Iran fleeing before 1953 coup


Paul Peachey
  • English
  • Arabic

A diplomatic blunder led to Britain’s Queen Elizabeth II playing an unwitting role in the 1953 Iranian coup that poisoned relations between the two countries for decades, according to newly unearthed documents.

A poorly worded cable led American officials to believe, erroneously, that the UK monarch had given her support to the overthrow of the Iranian government, according to files revealed in a British television documentary, The Queen and the Coup, aired on Sunday.

The United States used this apparent backing by the queen to stiffen the resolve of the Shah to remain in the country as the UK and US plotted to install an authoritarian regime in place of the democratically elected prime minister, Mohammad Mosaddegh.

But the new evidence suggested that the US cable had mixed up Queen Elizabeth and the liner that bore her name, on which the British foreign secretary, Anthony Eden, was travelling to Canada for a conference.

The Americans realised their mistake within hours but failed to tell Britain or the Shah, according to professor Richard Aldrich, one of the two historians who unearthed the documents.

Five months later, Mosaddegh was thrown out of office and the Shah became the pre-eminent force in the country until he was eventually deposed in the 1979 revolution.

Mr Eden had sent the telegram from on board the Queen Elizabeth to urge the US secretary of state John Foster Dulles to ensure the Shah remained in the country to ensure the plot was not still-born. The British had been angered by Mosaddegh's nationalisation of foreign oil interests and had sought to persuade the US that the country was at threat from a communist takeover.

The US telegram to its ambassador in Tehran said: “Foreign Office this afternoon informed us of receipt message from Eden from Queen Elizabeth expressing concern at latest developments re Shah and strong hope we can find some means of dissuading him from leaving country.”

Rory Cormac, an international relations expert from the University of Nottingham, told NBC News that the cable could have been used as ammunition “from somebody whom the Shah really respects, the queen, the leader of the global royal families.”

The US ambassador to Iran, Loy Henderson, met with the Shah’s senior officials after receiving the telegram to try to persuade the jittery Shah, who was on the brink of leaving the country after a power struggle with the prime minister, to stay put.

Henderson wrote to his superiors telling him that he had explained to one of the Shah’s senior ministers how a “very important personage for whom the Shah had most friendly feelings had also expressed sincere hope that Shah could be dissuaded from leaving country”.

The scholars said that the Shah reversed his decision to fly out of the country after the meeting.

Mr Aldrich said: “In our view, if the Shah had done a runner this coup probably would not have happened.”

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Favourite player: Franz Beckenbauer

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Ten tax points to be aware of in 2026

1. Domestic VAT refund amendments: request your refund within five years

If a business does not apply for the refund on time, they lose their credit.

2. E-invoicing in the UAE

Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption. 

3. More tax audits

Tax authorities are increasingly using data already available across multiple filings to identify audit risks. 

4. More beneficial VAT and excise tax penalty regime

Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.

5. Greater emphasis on statutory audit

There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.

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Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes. 

7. Limited time periods for audits

Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion. 

8. Pillar 2 implementation 

Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.

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Contributed by Thomas Vanhee and Hend Rashwan, Aurifer

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What is Reform?

Reform is a right-wing, populist party led by Nigel Farage, a former MEP who won a seat in the House of Commons last year at his eighth attempt and a prominent figure in the campaign for the UK to leave the European Union.

It was founded in 2018 and originally called the Brexit Party.

Many of its members previously belonged to UKIP or the mainstream Conservatives.

After Brexit took place, the party focused on the reformation of British democracy.

Former Tory deputy chairman Lee Anderson became its first MP after defecting in March 2024.

The party gained support from Elon Musk, and had hoped the tech billionaire would make a £100m donation. However, Mr Musk changed his mind and called for Mr Farage to step down as leader in a row involving the US tycoon's support for far-right figurehead Tommy Robinson who is in prison for contempt of court.

Dubai World Cup nominations

UAE: Thunder Snow/Saeed bin Suroor (trainer), North America/Satish Seemar, Drafted/Doug Watson, New Trails/Ahmad bin Harmash, Capezzano, Gronkowski, Axelrod, all trained by Salem bin Ghadayer

USA: Seeking The Soul/Dallas Stewart, Imperial Hunt/Luis Carvajal Jr, Audible/Todd Pletcher, Roy H/Peter Miller, Yoshida/William Mott, Promises Fulfilled/Dale Romans, Gunnevera/Antonio Sano, XY Jet/Jorge Navarro, Pavel/Doug O’Neill, Switzerland/Steve Asmussen.

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