Jon Holt to become KPMG’s UK chief with immediate effect

KPMG’s partners have voted “overwhelmingly” to approve the nomination of Jon Holt as the firm’s chief executive in the UK.

Holt would take up his new role immediately and would serve until the end of September 2025, KPMG said on Monday. He was the only person put forward by the board for consideration by KPMG UK’s 582 partners after interviewing candidates and taking “soundings” from within the Big Four accountancy firm.

The decision to put forward only one candidate avoided a competitive run-off. Holt needed the approval of a majority of partners to confirm his appointment.

The vacancy was created by the resignation by Bill Michael as chair and chief executive after a staff backlash in February over comments he made at a virtual town hall meeting.

Michael faced an investigation after he told staff to “stop moaning” about pandemic work conditions and dismissed unconscious bias as “complete and utter crap”.

Holt has headed the UK firm’s 7,000-person audit division since 2019 and previously led its financial services division.

His priorities will include guiding the firm through a regulatory shake-up as the Big Four firms prepare to separate their audit operations from their advisory arms to reduce conflicts of interest. The firm is facing several investigations by the UK accounting regulator over the quality of its audit work, including at Carillion, the collapsed outsourcer.

Following Michael’s exit, KPMG split the roles of chair and chief executive. Bina Mehta, a member of the firm’s board, was installed as chair for 12 months in February.

Mehta said Holt’s “extensive experience and inclusive leadership style means he is well placed to deliver the next stage of our growth strategy and support our clients as the country emerges from the pandemic”.

His appointment brings an end to the stewardship of Mary O’Connor, the first female chief executive of a Big Four firm, who took over the day-to-day running of KPMG on an interim basis after Michael left.

KPMG’s UK operations reported revenue of £2.3bn in the 12 months to September 30, down from £2.4bn a year earlier following the sale of its pensions business and a dent to activity from the pandemic. Average partner profit distribution fell 11 per cent to £572,000.

Holt will also be tasked with leading the firm’s transition to a hybrid working model.

“Now is the time to challenge ways of working and use what we’ve learnt during the pandemic to really drive positive action,” he said. “This is the moment for leaders to adapt their operations, reduce their environmental footprint and recruit diverse talent right across the UK.”