The CEO of Yorkshire Water, one of the largest water suppliers in Britain, has been paid an additional £1.3m since 2023 through an offshore parent company, according to information uncovered by the Guardian. Nicola Shaw, the CEO in question, received £660,000 from Yorkshire Water’s parent company, Kelda Holdings, in the 2023-24 and the 2024-25 financial years. These figures were not publicly disclosed in Yorkshire Water Services’ annual reports.
Initially, Yorkshire Water refused to provide details about the CEO’s compensation from Kelda Holdings, citing that the parent company is a private entity with different reporting requirements. It was only after the Guardian’s inquiry that the company finally revealed the amounts of the two payments.
Yorkshire Water claims that they have adhered to Ofwat’s requirements regarding pay disclosure and bonus payments, and that the extra payments were funded by shareholders, not by bill payers. However, there is no obligation for parent companies to disclose their pay to the regulator or the public. Furthermore, companies in offshore locations such as Jersey, where Kelda Holdings is registered, are not required to reveal executive pay.
Water companies in the UK have faced significant criticism in recent years for their role in water pollution and their increased billing for customers. Many politicians and campaigners have expressed their dissatisfaction with the high salaries of executives at these companies.
In response, the government has introduced a ban on bonuses for water company bosses who have been found guilty of serious environmental violations. Yorkshire Water was among six companies affected by this ban due to a £40m payment they made in March for excessive water spills from storm overflows. They were also fined £850,000 for releasing chlorinated water into a stream in 2017.
Gary Carter, a national officer for the GMB union, which represents water workers, said that the case reflects the lack of transparency in water companies’ salary practices, which undermines public trust.
According to Yorkshire Water’s published accounts, Shaw’s salary from the company decreased by nearly a third in the 2024-25 financial year, but the accounts also mention remuneration from Kelda Holdings. However, Kelda Holdings is not obligated to file accounts publicly due to Jersey’s less stringent laws, and Yorkshire Water initially declining to disclose the details of Shaw’s pay from the parent company.
While the company did reveal the amount of the CEO’s compensation from Kelda Holdings after being questioned, they did not share the parent company’s accounts. This lack of transparency made it impossible for MPs and bill payers to assess whether Shaw’s total pay had increased since the bonus ban.
Source: https://www.theguardian.com/business/2025/aug/03/yorkshire-water-boss-pay-offshore-parent-company
