Shetland Council head banned from running businesses after racking up £170,000 pub tax bill

The convener of Shetland Islands Council has been banned as a company director for three-and-a-half years after her pub company racked up more than £170,000 in unpaid taxes.

Andrea Manson, 67, was co-director of Mid Brae Inn Limited, which ran the Mid Brae Inn pub in Shetland. The business collapsed into liquidation with the huge tax bill.

An investigation found that between 2019 and 2023, the company failed to pay over £110,000 in VAT.

It also didn’t pay nearly £60,000 in PAYE and National Insurance, despite taking in more than £800,000.

Shetland Islands Council convener Andrea Manson, 67, was co-director of Mid Brae Inn Limited, which ran the Mid Brae Inn pub in Shetland. Google Maps

Including smaller amounts in corporation tax, the company’s total debt to HMRC was at least £178,860.

Councillor Manson’s ban prevents her from promoting, forming or managing a company without court permission.

Her co-director, Catherine Davies, 64, was also disqualified as a company director for three-and-a-half years, with her ban coming into effect in November.

Neil North of the Insolvency Service said Manson “failed to ensure her company met its tax obligations”.

A full statement read: “Andrea Manson holds a senior position in local government and was elected into office by residents of the Shetland Islands, taxpayers who will be required to pay council tax and other taxes.

“This is a position of responsibility and respect, yet she failed to ensure her company met its own tax obligations, leaving HMRC owed more than £170,000.

“Directors have a duty to ensure their companies pay the taxes they owe.

“This disqualification should serve as a warning that we will take action against those who fail to meet these basic responsibilities.”