Interim Executives Are on the Rise, Why?

BAT, British Steel, Compass Group, Coutts, Diageo, Hargreaves Lansdowne, Marks & Spencer, NatWest, Primark*, Tullow Oil, Unilever.

*Owned by Associated British Foods.

What do these businesses have in common?

Beyond being multi-billion-pound international brands, the thread that connects them is that each has appointed an interim executive to its leadership team in recent years. Interim leaders now occupy an expanding range of C-suite roles, and the appointment of interim CFOs has become almost routine.

However, it is notable that some of the organisations above have also made interim CEO appointments – some via internal promotion, others through external hiring of experienced interim leaders.

At Azura, we have seen an increase in demand for commercial interims covering a variety of functions including sales, marketing, and growth – often brought in to shift business mindsets and drive revenue and profitability. The data suggests that interim appointments are becoming more common across functions and ownership models, particularly during times of change and transformation.

In listed companies, these trends are visible through shareholder announcements, but they represent only a fraction of the activity in the broader market. Headhunters on the ground are observing a much bigger wave of short-term leadership solutions across UK and global businesses. Listed businesses are simply the tip of the iceberg.

Trends and data

The C-suite market has become increasingly volatile in recent years. CEO and CFO tenures continue to shorten, no doubt due to greater external pressure, faster market cycles, and investor expectations, as well as the evolution of executives’ personal priorities. As a result, organisations are turning to interim leaders more frequently.

The Institute of Interim Management reported a sharp increase in assignments, up 93% since 2006. Research has found that FTSE CFO turnover reached a four-year high of 17% in 2023, with 26% of FTSE 100 organisations changing their CFO by mid-year. It is striking that listed organisations are following this pattern. It raises the question of whether deeper cultural, political or operational factors within UK corporates are contributing to this shift.

Private equity: The fastest growing interim market

While public companies are embracing interim leadership, the fastest growth is happening in private equity. Although data is harder to track, headhunters across the UK would undoubtedly agree that private capital investors are increasingly turning to interim executives to manage transformation and accelerate returns.

In PE-backed environments, time horizons are shorter, expectations higher, and the value of decisive leadership even greater. Consider the scale of private equity’s impact:

• £200 billion – the annual contribution of private capital to the UK economy (7% of GDP)
• £63 billion – invested by PE firms in UK businesses in 2023, close to the £68 billion record set in 2021
• 2.5 million – people employed by PE-backed companies across the UK

These figures are even more compelling amid continued noise about the difficulty of private equity deals, softening demand for UK listings, and portfolio companies being overdue on exits. Santander recently noted that private equity and venture capital assets represent 8% of Europe’s GDP and 17% in the US, suggesting there may be continued room for UK growth – though interest rates and other macro pressures will determine the tempo.

In PE-backed environments, time horizons are shorter, expectations higher, and the value of decisive leadership even greater.

Azura is seeing more demand for interim leaders within private equity than in any other ownership model. The interim CFO role remains the most in-demand appointment, typically focused on value creation, turnaround, transformation, and exit readiness. As PE’s influence on the UK economy continues to grow, so too will its reliance on interim financial leadership.

Of course, the CEO role is vitally important in any business, however in the context of private equity deals there are often founders retained, or talent is deployed from within the firm’s portfolios. Interim CEO appointments are therefore less in demand in that sector.

The CEO role is generally more complex to fill on an interim basis. Top-tier CEOs are often locked into long-term incentives and wary of moving too quickly. Consequently, boards are increasingly appointing interims from within (as seen at Unilever), turning to experienced non-executive directors or chairs to steady the ship (e.g. Stella David at Entain), or even recalling “boomerang” CEOs to restore confidence during turbulent times.

Shifting candidate mindsets

The rise in interim appointments is not driven by employers alone. Candidate behaviour has shifted profoundly since the pandemic. Executives increasingly prioritise variety and professional growth over tenure and legacy. Many now view their careers as a series of phases – experiences to build capability and perspective rather than a single, linear climb.

This mindset aligns naturally with interim leadership. It also reflects broader economic forces: regulatory change, geopolitical instability, technological disruption, and evolving attitudes toward work.

Executives increasingly prioritise variety and professional growth over tenure and legacy.

Shorter CEO and CFO tenures confirm the trend – leaders are moving more frequently, seeking stimulation, challenge, and new learning environments. This shift is building a generation of high-impact, well-rounded executives. However, it also creates a persistent shortage of long-term, permanent leadership candidates.

Diversity and opportunity

As the interim market grows, so does the depth and diversity of available leadership talent. Yet, there is still work to do.

The Institute of Interim Management’s 2022 survey found that only 29.5% of interim managers identify as female, and in finance-related roles, the figure drops to around 15%.

At Azura, over 55% of our interim placements are female – a statistic well above the industry average and one we are immensely proud of. It is a result of deliberate focus, broad networks, and a commitment to inclusive search processes. This demonstrates that diverse interim talent can be found quickly, if organisations and search partners are intentional in where and how they look.

Looking ahead

Over the next 24 months, interim leadership appointments are likely to continue rising as a proportion of the UK’s executive workforce. Despite headwinds such as IR35 and competition for talent from Europe and the US, the demand for agile, results-oriented leadership remains strong. UK companies must stay alert to these headwinds in order to mitigate risk and ensure they offer attractive propositions to secure exceptional talent.

One emerging trend is the growing number of interim executives who transition into permanent roles. At Azura, more than 60% of our interim placements have been converted to permanent positions within the last 24 months. If this trend continues, it could mean that clients turn to interim leaders in greater numbers than we currently expect, emboldened by the success of their interim hires. This model offers boards an attractive form of “real world due diligence”, allowing them to assess performance in role before committing long-term.

We also expect a sharp increase in interim appointments across digital, technology, cyber and data. The rise of AI and escalating cyber threats are creating new risk environments that demand specialist, short-term expertise. Recent incidents at organisations including Rolls Royce, Marks & Spencer, Harrods, Co-Op and Jaguar Land Rover highlight the urgency.

Boards will need to ensure resilience, restore investor confidence, and safeguard reputation – and interim specialists will be central to that effort.

The new leadership question

The rise of the interim executive reflects a profound shift in how organisations view leadership itself. Businesses are moving away from permanence for its own sake and towards flexibility, accountability and results.

For headhunters, this means innovating – sourcing faster, widening networks and using data-driven insights to reduce hiring risk.

Well-run organisations are already responding. Those that act now will have access to a deeper, more diverse pool of leaders capable of navigating complexity and change. The challenge for everyone else is to keep pace.

In an era defined by transformation and uncertainty, the interim executive is no longer just a stopgap, but a strategic advantage.

About Azura

Azura is a boutique firm specialising in executive and non-executive search, interim management, leadership and board-level advisory. With offices in London, Amsterdam, and New York, Azura offers unparalleled access to diverse and international talent pools and has delivered placements across more than 30 countries. Driven by a relationship-led, consultative approach, Azura combines data-informed insight with a deep commitment to diversity and inclusion to identify leaders that are not only a strong professional fit, but are also aligned with clients’ long-term values and vision.

Author:

James Harold is a Partner at Azura and leads the Interim Practice, specialising in interim executive appointments, including CEO, CFO, CCO, and CTO roles.