EU to put new sanctions on Iran's officials and firms
The sanctions were announced after a meeting of EU foreign ministers in Brussels.
They come after a report by the UN nuclear watchdog that said Iran had carried out tests related to "development of a nuclear device".
Tehran denies this, saying that its nuclear programme is solely for peaceful purposes.
The UK has been seeking new sanctions after its Tehran embassy was attacked on Tuesday. London is now expelling Iranian diplomats and has already pulled its own out of Tehran.
Ahead of the Brussels talks, UK Foreign Secretary William Hague said he wanted "an intensification of the economic pressure", particularly the isolation of Iran's financial sector.
The 27-member EU has already frozen the assets of hundreds of Iranian companies and has adopted measures to prevent new investment and technological assistance to Iran's gas producing and refining industry.
'Nuclear device'
The EU is yet to release details about the 180 officials and entities which will be targeted by the sanctions.
Some reports say the foreign ministers failed to agree on an embargo on Iranian oil because Greece objected to the move.
The sanctions follow last month's report by the International Atomic Energy Agency (IAEA), which said that Iran had carried out tests "relevant to the development of a nuclear device".
But despite the report, Iran was not referred to the UN Security Council because Russia and China were opposed to the move.