Notable for Tilbrook's guitar solo right after the first verse, the song features marimba in its opening at the suggestion of newly acquired bassist John Bentley.

The song has since received positive critical reviews, and charted in the United Kingdom and Canada.

"Another Nail in My Heart," according to Squeeze singer and guitarist Glenn Tilbrook, began as "another slow number" where he "had the melody line to start with and the band fleshed it out.

Bentley recalled, "I turned to Glenn and I said, 'That riff would sound really good if you overdubbed a marimba.'

"[5] He elaborated in his autobiography, "It was written quickly and has its roots in the constant flow of verses and choruses I was forced to produce, rather than in me unearthing any deep emotional thoughts.

"[9] In his review of the song, Stewart Mason wrote, "The topic, as usual, is a cocktail of lost love and heavy drinking, culminating in the memorable chorus 'And here in the bar, the piano man's found another nail for my heart.

Cash Box called it a "upbeat, fresh pop/rock," with "witty lyrics, excellent pop ensemble playing (with a nod to the Beatles) and great vocals.

"[13] Stephen Thomas Erlewine of AllMusic called the track a "pop classic of the new wave era", while the same site's Stewart Mason wrote that "it's one of Squeeze's finest singles, marrying one of Glenn Tilbrook's most memorably McCartneyesque melodies to a typically wry and clever Chris Difford lyric.

"[14] and fellow New York Times writer Jon Pareles cited it as one of Squeeze's "catchiest" songs.