Despite the noise around England’s sewage scandal, the political response so far has mostly generated headlines, not real consequences. Ministers performatively “rage” about polluting water companies. Regulators are rejigged. Laws are passed. Yet little actually changes. The latest manoeuvre by Yorkshire Water is a case in point – and a revealing one.

In March, the company was ordered to pay £40m for the “unacceptable impact” of sewage spills blamed on poor maintenance. It was one of six firms caught by Labour’s new bonus ban for the most serious polluters, passed under the Water (Special Measures) Act earlier this year. But the company confirmed to the Guardian that its chief executive, Nicola Shaw, received an additional £660,000 for “investor-related” work last year – on top of her £689,000 take home pay.

The money did not come from Yorkshire Water directly, but from Kelda Holdings, the firm’s offshore parent. Using complex........

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