Industry warned of looming insurance leadership crisis after M&A surge

The UK insurance sector is facing a potential leadership vacuum driven by a wave M&A, according to Crescens George, chief executive at Wiser Academy.

Figures published by Ernst and Young (EY) in January 2025 revealed that UK insurance deals rose from 112 in 2023 to 188 in 2024, with total publicly disclosed deal value increasing from £3.7bn to £4.6bn.

George warned that as retention periods tied to these deals begin to expire, “a significant number of senior leaders could exit their firms or the sector”.

And he felt that the “loss of long-standing leaders, combined with a shortfall of suitably skilled successors, could expose firms to strategic and operational risks”.

“By 2026, we could be looking at one of the most substantial leadership challenges the sector has ever seen,” George said.

“Whether leaders leave for new jobs, or leave the sector altogether, they will take with them years of experience, in some cases decades.

“Replacing individuals may be a challenge and firms will have to ensure they take measures to safeguard continuity and capability in an industry under increasing pressure from regulatory, technological and economic forces.”

Investing in development

As a result, Wiser Academy is calling on firms to reimagining leadership development.

This includes integrating behavioural science, performance coaching and hands-on strategic training to prepare the next generation for the sector’s evolving demands.

George said: “Firms need adaptable, forward-thinking leaders who can inspire transformation. Traditional training models no longer reflect the complexity of the current marketplace.

“Those that invest now in building agile, fully-rounded leadership teams will stand out in the years ahead.

“This is not a question of whether leadership development is needed - it’s whether firms can afford to ignore it.”