Sovereign chairman Gavin Walker said the company was "well underway" in the search for a suitable chief executive and good progress was being made.
"In the meantime, the board and I have appointed Sharron Botica, Chief Officer People and Community, as the interim CEO."
Botica is "leading the charge with the support of a strong and experienced executive leadership team to implement the great work Sovereign is set to deliver in 2016 along with a continued commitment to implement the strategic plan we have in place."
“We are thrilled to have someone of Sharron’s experience hold the interim CEO role while we continue the recruitment process,” Walker said in a statement.
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