Co-op chief executive Shirine Khoury-Haq has announced her resignation following ‘toxic culture’ allegations and £285 million cyber attack losses.
The 55-year-old British-Australian businesswoman, who helmed the food-to-funerals company for four years, is set to depart on 29 March, with interim CEO Kate Allum stepping up as her replacement.
The move comes almost seven years after Khoury-Haq joined the company from Lloyd’s of London and after the business reported a £126 million profit loss in 2025.
“It has been an honour to lead our Co-op as CEO. It is not only a commercial enterprise, but also deeply embedded in communities, doing right by them and our members every day,” she shared in a Co-op statement.
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“Following last year’s cyber attack, the organisation is now ready to deliver on an ambitious strategy of stabilisation and transformation. This extends beyond the timeframe I had planned for my CEO tenure, and now is the right moment to hand over to leadership that can commit to seeing the strategy through.”
The April 2025 cyber attack, which saw IT networks infiltrated by hackers, led to major payment problems and a shortage of goods in stores, as reported by the BBC.
As a result of the disruption, it knocked £107 million from profits, as per The Telegraph.
“I want to thank all of our Co-op colleagues and members for their support over the years,” Khoury-Haq added.
“I wish this wonderful organisation success in the future and, when the transition period is over, I look forward to continuing my relationship with our Co-op as a member owner.”
Khoury-Haq's transition out of her CEO role comes amid complaints made by senior managers regarding the Co-op board.
Some employees objected to the ‘fear and alienation’ they were subjected to, while others said they felt unable to raise concerns about the direction of the business in front of the leadership team, according to a letter seen by the BBC.
Lawyers for the Co-op told the outlet that they did not recognise the critical comments raised, and ‘do not believe that they represent the views of our broader leadership and colleagues’.
Following news that Allum would temporarily step into the CEO role, Debbite White, the chairwoman and former Interserve CEO said: “We are grateful to Kate in accepting this role, whilst a search begins for a permanent Group CEO to lead our Co-op.
“Her appointment reflects the Board’s confidence in her ability to lead with clarity, stability and purpose, while continuing to champion the interests of our members, customers and colleagues.”
Meanwhle Katie Allum said that the role was a ‘privalage’ and that now is an ‘important time for the Co-op’.
“Ours is a business with a clear purpose, a compelling business strategy and a values-led approach to making a positive difference within the communities we serve across the UK,” she continued.
“I look forward to working even more closely with our incredible colleagues, our members and the Board and National Members Council as we continue to strengthen our Co-op for the long-term.”
Ella Scott