Council convener 'sad and embarrassed' after company director ban

Shetland Islands Council's convener says she is "sad and embarrassed" after being banned as a company director for three-and-a-half years over unpaid tax.

Andrea Manson was a co-director of pub company Mid Brae Inn Limited which owed HM Revenue and Customs (HMRC) at least £178,860 when it went into liquidation in May 2023.

UK government agency The Insolvency Service said the firm paid £6,000 to HMRC between 2019 and 2023, despite continuing to trade and more than £800,000 having been paid into its bank account.

Manson said the business had been a casualty of the Covid pandemic and had offered to pay the money it owed.

Manson, an Independent councillor for Shetland North, said she had lost her own money in the business.

The 67-year-old told BBC Scotland News: "I am very sad and embarrassed by it all and touched by the support from friends, family and other folk."

She said since 1981 the business had employed hundreds of people and had paid NI contributions and taxes.

"It's a sad end of a working life that this has happened," said Manson.

Her position as council convener means she acts as the civic head and figurehead of the local authority, presiding over full council meetings and representing the area at ceremonial events.

She said she "loved her job" at the council. Asked if she was considering her position she said she would "sleep on it".

Manson has been temporarily disqualified from being involved in the promotion, formation or management of a company.

The Insolvency Service's chief investigator Neil North said Manson had failed to ensure her company met its tax obligations.

In May 2023, Mid Brae Inn Limited owed HMRC £110,675 in VAT and surcharges and £59,227 in unpaid PAYE and National Insurance contributions dating back to 2018-19.

Co-director Catherine Davies has also been disqualified for three-and-a-half years. She has also been approached for comment.