The leadership change, announced on 16 June 2025, marks the first time in nearly 38 years that someone other than Dixon will run the company he started with a single centre in Brussels in 1989. IWG now operates roughly 6,000 locations across more than 120 countries under brands including Regus, Spaces, HQ and Signature, and reported revenue of approximately £3.4bn for FY2024, according to the company's filings.

For the thousands of UK SMEs and scale-ups that occupy IWG desks, lease its meeting rooms, or franchise its brands, the appointment of a specialist in operational transformation raises pointed questions about what comes next.

From founder to chair: what Dixon's move signals

Dixon is not leaving. He moves to the role of executive chair, while Douglas Sutherland, the current non-executive chair, becomes deputy chair, according to the company's announcement. The structure keeps Dixon close to strategy while handing day-to-day execution to a professional CEO.

Founder-to-chair transitions at listed companies of this scale tend to follow a pattern. The founder retains influence over long-term direction, capital allocation, and major partnerships, while the incoming chief executive is given a mandate to tighten operations, renegotiate supplier terms, and accelerate whichever strategic pivot the board has already endorsed.

In IWG's case, that pivot has been well signposted. The company has spent the past several years shifting toward a capital-light franchise model, reducing its direct exposure to long leases and transferring property risk to franchisee partners. Dixon himself framed the transition in growth terms.

"The business continues to perform in line with expectations and we are in a period of enormous opportunity for IWG. As demand for flexible workspaces continues to grow worldwide, the business is exceptionally well-positioned to capitalise on this trend," Dixon said, as reported by BusinessCloud.

The language is notable: "in line with expectations" suggests stability, not crisis. This is a planned succession, not a forced departure.

Who is Christian Schmitz?

Schmitz joined IWG last year as chief transformation officer before being promoted to global head of all regions, according to the company. His background sits squarely in the world of private-equity-backed operational overhaul.

Before IWG, Schmitz was a partner at McKinsey & Company in San Francisco and a director at KKR Capstone, the operational arm of buyout firm KKR. At Capstone, he advised and led transformation programmes across multiple portfolio companies, according to the company's statement.

His most prominent executive role was as CEO of Selecta, a European food technology and workplace services business owned by KKR, where he served for six years. Selecta's tenure under Schmitz involved significant restructuring, including a debt-for-equity swap that reshaped the company's balance sheet. The company's announcement described the period as one of "significant change," noting that Schmitz "successfully positioned it for the future."

The Selecta experience is instructive. It suggests Schmitz is comfortable with hard decisions on cost structures, contract renegotiation, and operational efficiency. Whether that translates into tighter terms for IWG's tenants and franchise partners remains to be seen, but the track record points toward a leader who prioritises margin discipline.

Schmitz himself struck an expansionist tone in the company's announcement. "The growth opportunity ahead of us is enormous: demand for flexible workspace is accelerating in every market, and IWG is exceptionally well positioned to capture it," he said, as reported by BusinessCloud.

What changes IWG tenants and franchisees should watch for

Three areas merit attention for businesses that interact with IWG directly.

Franchise terms and expansion pace

IWG's shift to asset-light franchising has been the dominant strategic theme for several years. A CEO with deep experience in private-equity-style value creation is likely to accelerate that model. Prospective franchisees may see more aggressive expansion targets; existing ones may face revised fee structures or performance benchmarks designed to extract greater returns from the network.

Technology and service bundling

Schmitz's title before becoming CEO was chief transformation officer, a role that typically encompasses digital infrastructure, process automation, and data-driven pricing. SMEs renting IWG space could see changes in how services are packaged and priced, with greater emphasis on tech-enabled add-ons such as booking platforms, access management, and integrated IT support.

Supplier and lease renegotiation

A restructuring specialist will almost certainly scrutinise IWG's cost base. For landlords who lease space to IWG on traditional terms, and for service providers embedded in its supply chain, the new CEO's arrival may prompt harder conversations about pricing and contract length.

The wider flex-workspace picture

The leadership change arrives at a moment of structural tailwind for the sector. Flexible workspace now accounts for roughly 10 to 12 per cent of total office take-up in central London, according to data from JLL and Savills, a share that has grown materially since the pandemic normalised hybrid working patterns.

That growth has attracted competition. WeWork's restructuring opened market share. Smaller operators and landlord-led flex offerings have proliferated. IWG's scale, with 6,000 locations globally, gives it purchasing power and brand recognition that few rivals can match, but maintaining that advantage requires the kind of operational rigour Schmitz was hired to deliver.

For UK SMEs and scale-ups that rely on flexible workspace, the practical implications are likely to emerge gradually. New leadership at a company of IWG's size does not produce overnight changes in desk rates or contract terms. But the direction of travel is clear: a founder built for expansion has handed the controls to an executive built for optimisation. The balance between those two imperatives will shape the experience of every business that walks through an IWG door.