History

I can bore you with the whole history of the UAE, but let us jump to the important stuff.

There is proof suggesting that humans have lived in the UAE since 5,500 BCE. In the early 1960 when oil was discovered, the UAE was under British "control." Primarily in reaction to the ambitions of other European countries, the United Kingdom and the Trucial Sheikhdoms established closer bonds in an 1892 treaty, similar to treaties entered into by the UK with other Persian Gulf principalities. The sheikhs agreed not to dispose of any territory except to the United Kingdom and not to enter into relationships with any foreign government other than the United Kingdom without its consent. In return, the British promised to protect the Trucial Coast from all aggression by sea and to help in case of land attack. (Source wikipedia)

Sheikh Zayed bin Sultan Al Nahyan became president in 1966 and seeking independence started giving out business to other countries (rightfully so) which basically led to the British canceling their security agreement in 1968.

Then 7 of the Trucial Sheikdoms clubbed together and created the UAE.