EnvironmentAgency News & Analysis

Yorkshire Water CEO Nicola Shaw Resigns After Lowest Environmental Rating

Yorkshire Water's chief executive, Nicola Shaw, announced her resignation effective January 1. This follows the company receiving the lowest possible environmental rating, one star out of four, from the Environment Agency. The rating reflected 260 pollution incidents in 2025, Yorkshire Water's highest since 2011. Shaw has led Yorkshire Water since 2022 and will be replaced by Nicola Medalova, a chartered environmental health officer and former National Grid employee. Shaw faced criticism for undisclosed payments totaling £1.9m from 2023 to 2026 made by the parent company Kelda Holdings for investor engagement and financial oversight. Additionally, in 2024, Ofwat fined Yorkshire Water £47m for historic sewage leaks. Shaw described her tenure as a privilege but recognized the need for change. Medalova will begin a transition period before fully assuming the CEO role in the new year. The Environment Agency's rating and Ofwat's fine highlight significant regulatory challenges for Yorkshire Water. These events and leadership changes matter to investors as they may influence future regulatory compliance costs and company performance under new management.