It is located north of Haroldswick on a peninsula in the northeast corner of the island, and is the most northerly settlement in the United Kingdom.

Skaw is derived from the Old Norse "Skagi" meaning a cape, headland, promontory or peninsula.

Walter Sutherland (died c. 1850), a former inhabitant of the northernmost cottage in Britain, was reportedly the last native speaker of the Norn language.

During World War II, the Royal Air Force built a Chain Home radar station at Skaw.

RAF Saxa Vord continued as a radar station after the end of the ROTOR programme.