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A majority of the present-day population are unionist and wish to remain part of the United Kingdom, but a significant minority, known as nationalists, want to see a united Ireland. These two views are linked to deeper cultural divisions. Unionists are predominantly Protestant and often descendants of Scottish and English (mainly Scottish) settlement in previous centuries, while nationalists are predominantly Catholic and usually descend from the Irish population predating such settlement. The conflict between these two sets of identities, including alleged discrimination against nationalists under the Stormont government (1920–72) giving rise to the nationalist "Civil Rights Movement" in the 1960s, and eventually to a long-running conflict known as The Troubles.

The state operates under the Constitution of Ireland, also known as Bunreacht na hÉireann, adopted in 1937. The constitution falls broadly within the liberal democratic tradition. It defines the organs of government and guarantees certain fundamental rights. The constitution may only be amended by referendum. Important constitutional referenda have concerned issues such as abortion, the status of the Catholic Church, divorce and the European Union.

The state was neutral during World War II but offered some assistance to the Allies. In 1949 the state was declared to be a republic; since that time it has been commonly referred to as the "Republic of Ireland". The state was plagued by poverty and emigration until the 1990s. That decade saw the beginning of unprecedented economic success, in a phenomenon known as the "Celtic Tiger". By the early 2000s, it had become one of the richest countries (in terms of GDP per capita) in the European Union, moving from being a net recipient to a net contributor and from a population with net emigration to one with net immigration.

Much of the Irish calendar still today reflects the old pagan customs, with later Christian traditions also having significant influence. As in other countries, the date for observing Christmas was deliberately chosen to coincide with the winter solstice. Christmas in Ireland has several local traditions, some in no way connected with Christianity. On 6 January, which is known as "The Little Christmas" (An Nollaig Bhéag) or "The Women's Christmas" (Nollaig na mBan), there is a custom of "Wren boys" who call door to door, in times past, with a dead wren.

Ireland is divided into four provinces: Connacht (or Connaught), Leinster, Munster and Ulster. These were further divided into 32 counties for administrative purposes. Six counties remain in the United Kingdom as Northern Ireland following Ireland's partition in 1922 (the remaining 26 forming present-day Republic of Ireland); these county boundaries no longer exist in Northern Ireland for administrative purposes, apart from Fermanagh. In the Republic, the county boundaries are still adhered to for local government, albeit with Tipperary and Dublin subdivided (some cities also have their own administrative regions). For election constituencies, some counties are merged or divided, but constitutionally the boundaries have to be observed. Across Ireland, the 32 counties are still used in sports and in some other cultural areas and retain a strong sense of local identity.

In a number of areas, the island operates officially as a single entity, for example, in sport. The major religions, the Roman Catholic Church, the Church of Ireland and the Presbyterian Church of Ireland, are organised on an all-island basis. 92% of the population of the Republic of Ireland are Roman Catholic, and 40% in Northern Ireland. Some trades unions are also organised on an all-Irish basis and associated with the Irish Congress of Trades Unions (ICTU) in Dublin, while others in Northern Ireland are affiliated with the Trades Union Congress (TUC) in the United Kingdom. The island also has a shared culture across the divide in many other ways. Traditional Irish music, for example, though showing some variance in all geographical areas, is broadly speaking the same on both sides of the border. Irish and Scottish traditional music are similar.

From its creation in 1921 until 1972 Northern Ireland enjoyed limited self-government within the United Kingdom, with its own parliament and prime minister. However the Protestant and Catholic communities in Northern Ireland each voted almost entirely along sectarian lines, meaning that the government of Northern Ireland was dominated by the Unionist majority which did not permit Catholics to participate in the government.

Under the Belfast Agreement (also known as the Good Friday Agreement) and Article 3 of the constitution a North-South Ministerial Council and six North-South Implementation Bodies coordinate activities and exercise a limited governmental role within certain policy areas across the whole island of Ireland. The Implementation Bodies have limited executive authority in six policy areas. Meetings of the Council take the form of meetings between ministers from both the Republic's Government and the Northern Ireland Executive.

The culture of the people living on the island of Ireland is far from monolithic. Many notable cultural divides exist between the rural people and city dwellers, between the Catholic and Protestant people of Northern Ireland, between the Irish-speaking people within and without the Gaeltacht regions and the English-speaking majority population, between the settled people and the Travellers, and, increasingly, between new immigrants and the native population.

The island is often referred to as being part of the British Isles. However, some people, especially in Ireland, take exception to this name, which seems to suggest that both islands belong to Britain. For this reason, "Britain and Ireland" is commonly used as a more neutral alternative. Another suggestion, although much less used, is the Islands of the North Atlantic (IONA).

The head of state is the President of Ireland. In keeping with the state's parliamentary system of government the President exercises largely a ceremonial role but does possess certain reserve powers. The presidency is open to all citizens who are at least 35. They are directly elected by secret ballot under the Alternative Vote. A candidate may also be chosen by a consensus among the political parties, in which case it is unnecessary to proceed to a ballot. The President is elected to a seven year term; no candidate may serve more than two terms. In carrying out certain of her constitutional functions, the President is aided by the Council of State.

There have been recent efforts in Ireland to use renewable energy such as wind energy with large wind farms being constructed in coastal counties such as Mayo and County Antrim. Recently what will be the world's largest offshore wind farm is being developed at Arklow Bank off the coast of Wicklow. It is estimated to generate 10% of Irelands energy needs when it is complete. These constructions have in some cases been delayed by opposition from locals, most recently on Achill Island, some of whom consider the wind turbines to be unsightly. Another issue in the Republic of Ireland is the failure of the aging network to cope with the varying availability of power from such installations. Turlough Hill is the only energy storage mechanism in Ireland.

For much of their existence electricity networks in the Republic of Ireland and Northern Ireland were entirely separate. Both networks were designed and constructed independently, but are now connected with three interlinks and also connected by Northern Ireland Electricity (NIE) though Great Britain to mainland Europe. The Electricity Supply Board (ESB) in the Republic drove a rural electrification programme in the 1940s until the 1970s.

In recent decades the Catholic population has increased in percentage terms within Northern Ireland, while the Presbyterian and Church of Ireland population percentages have decreased. However the decreasing size of Catholic families and the increasing use of birth control among the Catholic community and led to a slowing down in the growth of the Catholic population. Statisticians predict both communities will achieve close to parity in size, with Protestants dominant primarily to the east of Northern Ireland and Catholics dominant to the west and south. However as of 2005 most statisticians predict that Protestants will continue to slightly outnumber Catholics in Northern Ireland as a whole. As not all Catholics are nationalists, they predict a continuing majority in favour of the union with the United Kingdom. However this is disputed by a minority of statisticians.

Pub culture, as it is termed, pervades Irish society, across all cultural divides. The term refers to the Irish habit of frequenting public houses (pubs) or bars. Traditional pub culture is concerned with more than just drinking, even though Ireland has a recognised problem with over-consumption of alcohol, with the highest drink consumption in Europe. Per capita alcohol consumption increased by 41% in the period 1989 to 1999. Typically pubs are important meeting places, where people can gather today in the modern Ireland and meet their neighbours and friends in a relaxed atmosphere. Pubs vary widely according to the clientele they serve, and the area they are in. Best known, and loved amongst tourists is the traditional pub, with its tradional Irish music (or "trad music"), tavern-like warmness, and memorabilia filling it.