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Tobago was inhabited by Island Caribs at the time of European contact. The island later changed hands between the French, Dutch, British and Courlanders. The island was finally ceded to the British in 1814. Originally a very wealthy sugar colony, Tobago's economy collapsed after the abolition of slavery. In 1888 Tobago was annexed to Trinidad.

Party politics have generally run along ethnic lines, with Afro-Trinidadians supporting the People's National Movement (PNM) and Indo-Trinidadians supporting various Indian-majority parties, such as the United National Congress (UNC) or its predecessors. Most political parties, however, have sought to broaden their purview.

The Prime Minister is appointed by the President. The President is obligated to appoint the person with the most support in the House of Representatives to this post; this has always been the leader of the party which won the most seats in the previous election.

The Head of State of Trinidad and Tobago is the president, currently Professor Emeritus George Maxwell Richards. The President is elected by an Electoral College consisting of the full membership of both houses of Parliament. The parliament consists of two chambers, the Senate (31 seats) and the House of Representatives (36 seats). The members of the Senate are appointed by the president. The 16 Government Senators are appointed on the advice of the Prime Minister, the 6 Opposition Senators are appointed on the advice of the Leader of the Opposition and the 9 Independent Senators are appointed by the President to represent other sectors of civil society. The 36 members of the House of Representatives are elected by the people for a maximum of five years.

The country's highest court is the Court of Appeals, whose chief justice is appointed by the president after consultation with the prime minister and leader of the opposition. Final appeal on some matters is decided by the Judicial Committee of the Privy Council in London. Trinidad and Tobago was chosen by its Caribbean neighbors (CARICOM) to be the headquarters site of a contemplated Caribbean Court of Justice (CCJ) to replace the Privy Council in the fall of 2003

Although Tobago lies to the south of the hurricane belt, it was nevertheless struck by Hurricane Flora on September 30, 1963. The effects of the hurricane were so severe that it changes the face of Tobago's economy. The hurricane laid waste to the plantations of Banana, Coconut and Cocoa, which largely sustained the economy. It also wreaked considerable damage to the largely pristine tropical rainforest that makes up a large proportion of the interior of the northern half of the island. Subsequently, many of the plantations were abandoned and the economy changed direction away from cash crop agriculture towards tourism.

Scarborough, Tobago is the largest town on Tobago, one of the two islands of the Republic of Trinidad and Tobago and contains more than half of the population of the island. The town is dominated by Fort King George, a 18th Century fortification named for King George III which now hosts a historic/archaeologic museum.

Tourism is concentrated in the southwest of the island, around Crown Point, Store Bay, Pigeon Point and Buccoo Reef. This area has large expanses of sand and is dominated by resort type developments. Tobago also has very many idyllic beaches around its coast line especially those at Castara, Bloody Bay and Englishman's Bay.