Private equity confidence is back: how US deals are reshaping CPO hiring in the UK

Nick Croucher

|

|

6–9 minutes

 read

, , , ,

Over the last six months, I have seen confidence return to the private equity market. After a prolonged period of caution driven by the pandemic, economic uncertainty and ongoing volatility, funds are once again showing a greater appetite to transact. For many investors, uncertainty is no longer a short-term disruption. It is the operating environment, and organisations are adapting their business strategy accordingly.

Alongside this shift, restructuring activity has increased. Businesses are repositioning, reassessing leadership roles and making more deliberate decisions about where value is created. Public markets remain unpredictable, with the initial public offering route off the table for many since 2022. As a result, founders, Chief Executive Officers and leadership teams are taking a closer look at what they have today and whether it genuinely supports future business growth.

For a growing number of technology and healthcare businesses, the United States private equity ecosystem has become the preferred destination. Access to deeper funding lines, a higher tolerance for pre revenue models and a well-established financial ecosystem continue to differentiate the US from the United Kingdom.

To add further context, I asked James Ellis, an exit specialist who has advised on more than 30 mid-market transactions, many involving US acquirers, to share his insider perspective on how private equity expectations are evolving

“Globally, private equity has more than USD 2 trillion of dry powder, capital that has been raised but not yet deployed. Despite this, the market for new investments has become more nuanced, with traditional levers of value creation now much harder to rely on.”

James Ellis

What US private equity looks for versus the UK

From both a founder and investor perspective, expectations differ meaningfully between markets. In the US, private equity firms often prioritise pace, scalability and clarity in decision‑making. Leadership teams are expected to operate with autonomy, supported by data analytics, defined metrics and clear accountability to stakeholders.

In the UK, there is typically greater emphasis on governance, sustainability and long‑term retention. This influences how critical roles are defined and how leadership team capability is assessed. Neither approach is inherently stronger. Each reflects the realities of its broader ecosystem, regulatory environment and capital expectations.

What has changed is the level of crossover between these models. Since the pandemic, leadership teams have become more global and more fluid. Markets that once operated independently are now influencing one another, particularly around supply chain resilience, digital transformation and workforce planning.

“According to Bain’s 2026 Private Equity Report, a new investment now needs to deliver average EBITDA growth of around 12% per annum over the life of the investment to achieve target returns, compared with closer to 5% a decade ago.”

James Ellis

The impact on the Chief People Officer market

One of the clearest consequences of this shift is in CPO and CHRO hiring. As revenue and headcount growth increasingly focus on North America, many boards are asking whether the people leader should be based there.

In response, I am seeing more leadership roles either relocated to the US or structured as dual‑location positions. In some cases, this is achieved through internal mobility. In others, it involves a first time external appointment into a newly created role. Increasingly, organisations are running parallel searches to compare talent pools across markets before finalising hiring decisions.

For the CPO, this creates both opportunity and complexity. Proximity to the CEO, access to the boardroom and influence over business goals all matter. As these dynamics shift, people strategy must evolve alongside them.

“With multiple expansion harder to achieve and debt more constrained, private equity returns are increasingly driven by organic growth and operational improvement. Any growth plan ultimately comes back to people, which is why the role of the CPO has never been more critical.”

James Ellis

Compensation realities and commercial expectations

There remains a meaningful compensation gap between the UK and the US, but context is critical. In a recent market mapping exercise I conducted for a client, focused on a specific Chief People Officer mandate, the UK‑based role was benchmarked at a base salary of GBP 220,000 to 250,000.

When validating this with my network in New York and San Francisco for an equivalent role profile, the comparable base salary ranged from USD 250,000 to 400,000. Variable pay structures were broadly consistent, typically blending short‑term incentive and equity.

What stood out was not just the headline numbers, but the mindset. In the US, there is often greater acceptance of reduced short‑term incentive in favour of equity, particularly in startup and pre‑revenue environments. This reflects a stronger alignment between leadership team incentives and long‑term value creation, even where organisations are still operating at cash burn.

For boards and stakeholders, these differences require informed decisions. Compensation design, succession planning and leadership track record must always be assessed within the context of the specific role, market and growth stage.

East meets West in leadership models

Historically, US leadership ecosystems were concentrated around San Francisco and New York. Today, there is far greater flexibility. Leaders travel extensively, operate remotely and manage teams across regions including Europe, the Middle East and Asia. The UK continues to play a pivotal role in bridging the US and APAC from a time zone and leadership connectivity perspective.

Interestingly, there is often less appetite for domestic relocation within the US than there is for international mobility from the United Kingdom. UK‑based HR leaders frequently demonstrate greater pragmatism around location, which can be a real advantage in global executive search.

The United Kingdom continues to develop highly commercial human resources leaders with strong global exposure. Many have built their careers in multinational organisations before transitioning into private equity‑backed environments. This brings depth across change management, strategic planning, talent acquisition and workforce planning.

One emerging challenge relates to transaction exposure. With fewer deals completed over the last three years, some CPOs have not yet experienced an exit or acquisition. Depending on the maturity of the leadership team, this can either be a limiting factor or not feature heavily in requirements at all.

Different routes into HR leadership

In the US, it is more common for HR leaders to enter the profession through executive search, talent or broader human capital roles. This often results in a more outward‑facing profile, with strong stakeholder engagement skills and confidence operating in a competitive market.

The Chief Administration Officer (CAO) role is also more common, particularly on the West coast. In these structures, the Chief People Officer remit may expand to include legal, customer support or real estate. This raises an interesting question around future leadership pathways and whether this could become a route into Chief Operating Officer roles.

Among UK founders and boards, this flexibility is increasingly appealing. As organisations scale internationally, leadership roles that combine people strategy with operational oversight can support more effective business growth.

What this means for boards and founders

For organisations navigating growth amid volatility, my advice is consistent. Run dual‑location searches where possible. Be transparent with candidates about potential role evolution. Assess communication styles carefully, particularly within geographically dispersed leadership teams.

Robust assessment frameworks, supported by data analytics and clear metrics, help reduce risk. Cultural alignment, well‑being and sustainability are no longer secondary considerations. They sit at the centre of informed decisions in the boardroom.

The role of the recruiter in this environment is not simply to fill new roles. It is to provide perspective. Effective executive search supports better decision‑making by grounding ambition in market reality.

Looking ahead

As private equity activity continues to accelerate, expectations of HR leaders will continue to rise. The Chief People Officer sits at the intersection of people strategy, business strategy and execution. In periods of restructuring and growth, that position becomes even more critical.

This is not a short‑term shift. It reflects a structural change in how organisations build leadership teams across markets. For CPOs, founders and stakeholders alike, the challenge is not choosing between the United States and the United Kingdom. It is understanding how to leverage the strengths of both.

As part of this series, I will continue the discussion through interviews with CPOs in both markets, founder and Chief Executive Officer perspectives, and conversations around progression into broader leadership roles.

If you would like to discuss how these dynamics affect your leadership team, succession planning or upcoming hiring decisions, I am always happy to share perspective. Get in touch here.

Jobs

  • Engineering/manufacturing/industrial
  • Permanent

Senior People Advisor

I’m delighted to be working on an exclusive role in Bath where I am looking for an experienced Senior People Advisor to join a well-established organisation at an exciting time for its People function. This is a broad, hands-on role that would suit someone who enjoys being close to the business, managing a varied workload […]
  • Salary GBP50000 – GBP54000 per annum
  • Posted 6 uur geleden geplaatst

Read more

  • Healthcare
  • Fixed term contract

People Operations & Payroll Manager

People Operations & Payroll Manager – £45K – 12 month FTC – Semley My client is a leading name in the healthcare realm. Currently they are in pursuit of a People Operations and Payroll Manager to join them on a 12 month FTC. To be considered successful, the ideal applicant must – have a solid […]
  • Salary GBP40000 – GBP45000 per hour
  • Posted 11 uur geleden geplaatst

Read more

  • Financial services
  • Permanent

Regional Talent Acquisition Specialist

Individual Contributor Role Location: Singapore Southeast Asia Coverage Reporting to Head of HR Frazer Jones is partnering with a leading international investment management firm to appoint a Regional Talent Acquisition Specialist to join its Singapore office. This is an exciting opportunity to support the firm’s talent acquisition efforts across Southeast Asia while partnering closely with […]
  • Posted 2 dagen geleden geplaatst

Read more

  • Engineering/manufacturing/industrial
  • Permanent

Vice President, Human Resources, APME

Frazer Jones is delighted to be retained and exclusively partnering with a global market leader to appoint a strategic and transformative Vice President, Human Resources for Asia Pacific & Middle East (APME). Based in Singapore, this is a critical leadership role reporting directly to the Chief Human Resources Officer, responsible for shaping and driving the […]
  • Posted 2 dagen geleden geplaatst

Read more

  • Engineering/manufacturing/industrial
  • Permanent

Assistant Director, Rewards

We are exclusively partnering with a leading Singapore-headquartered organization to appoint a strategic and experienced Assistant Director of Rewards. This is a highly confidential mandate within a well-established organisation with diverse business interests and a strong market presence in Singapore and growth story across the region. As the AD for Rewards, you will report directly […]
  • Salary Up to SGD200000 per annum
  • Posted 2 dagen geleden geplaatst

Read more

Our Insights

30 years of Frazer Jones: celebrating our people, partnerships and the HR community 

  • Posted november 2, 2026
Contents Share For 30 years, Frazer Jones has been connecting talented HR professionals with organisations around the world.  But our story has always been about more than recruitment. It is about the relationships we have built, the careers we have followed, the organisations we have supported and the HR community we are proud to be […]

When to hire a HR Director in a PE-backed business

  • Posted oktober 29, 2026
Contents Share Key insights The right time to hire a HR Director is before the business’s growth ambitions exceed its ability to deliver them through its people. For a private equity-backed business, that means assessing HR leadership against the value creation plan, rather than waiting for a particular headcount, revenue milestone or employee relations issue […]
Frazer Jones thumbnail

The rise of the international HR leader 

  • Posted oktober 22, 2026
Contents Share Key insights Over the past 18 to 24 months, a distinctive pattern has emerged in senior HR hiring: US-headquartered multinationals are appointing leaders to oversee their international people functions, reporting directly to a US-based CHRO. Often carrying titles such as Head of International HR, HR SVP International or Head of HR EMEA and […]

Talent in financial services: an interview with Laureen Chivere

  • Posted oktober 16, 2026
Contents Share 1. You have built and transformed learning functions at both Naspers and ASML. When starting from a fragmented or immature environment, what do you believe leaders need to get right first? “The most important thing is understanding the value chain of the business. How do its functions actually contribute? Where are people and […]

Why local market insight matters when hiring HR in the Southwest and M4 Corridor

  • Posted oktober 15, 2026
Contents Share Key insights Hiring human resources talent in the Southwest and M4 Corridor requires more than a national job advert and a generic salary benchmark. The region has its own talent pools, sector strengths and expectations around pay, flexibility and progression. For organisations hiring HR professionals in Bristol, Bath, Swindon, Reading and across the […]

How to become an HR business partner: lessons from HR leaders who have been there 

  • Posted oktober 12, 2026
Contents Share Key insights For many HR professionals, becoming an HR business partner (HRBP) feels like the natural next step in their career. Yet despite being one of the most common aspirations within the people profession, it is often one of the hardest transitions to make.  Job descriptions frequently ask for business partnering experience before […]

Keeping hiring human in the age of AI 

  • Posted oktober 7, 2026
Contents Share Key insights Artificial intelligence is rapidly changing the way organisations attract, hire and develop talent. From generative AI and AI agents to sophisticated AI tools that support everything from resume screening to onboarding, the pace of change continues to accelerate. Yet as technology becomes more embedded in everyday working life, a critical question […]

The convergence of HR technology and HR operations: why professional services firms are rethinking their people infrastructure 

  • Posted september 23, 2026
Contents Share Key insights Across professional services firms, conversations about HR are changing.  While HR systems have long been viewed as the technology that sits behind people processes, organisations are increasingly recognising that technology alone is not enough. Instead, firms are focusing on how their systems, processes and people work together to deliver a more […]
Two professionals walking and talking

What is the difference between a CHRO and an HR Director in a PE-backed company?

  • Posted september 22, 2026
Contents Share Key insights One of the questions I am asked most frequently by CEOs, investors and boards is whether they need a Chief Human Resources Officer (CHRO), Chief People Officer (CPO), Head of People or HR Director. The answer, frustratingly, is that it depends. There is no magic headcount threshold at which an organisation […]

Why payroll is becoming one of the Netherlands’ most in-demand career paths

  • Posted september 18, 2026
Contents Share Key insights Payroll is gaining attention as a career path, and for good reason. It offers not only competitive compensation but also the satisfaction of playing a vital role in ensuring employees are paid accurately, compliantly and on time. With continuously evolving tax legislation, employment law, reporting requirements and compliance obligations, the demand […]