The change will be the second Holmqvist have made to their line-up in three races, as they will now run a completely different driver pairing to that which they started the season with, having previously replaced Aron Einarsson with Lewis Ellington.
"We are delighted to welcome Hugh on-board and look forward to working with him for the remainder of the season," commented team principal Cory Evans. "We would like to thank Kiara for her work so far this season and the points she has scored, however it is by mutual agreement that we have decided she still needs to improve in certain areas."
"She has realised - since being alongside Lewis - that she still has a lot to learn, and at the moment we need experienced drivers who can score points in cars that are clearly capable. She will therefore switch places with Hugh and race in IndyVirtual for Grip Autosport for the remainder of the season, honing her skills. As things stand we still have a contract with her next season, and don't see that changing."
"With Hugh and Lewis however, we now have two extremely talented drivers who are both former race winners, and our aim is to score consistent strong points to enable us to properly fight in the championship with the likes of AMR and FIRST."
Alex Tunnicliffe of Grip Autosport was also present and said: "The whole of team here at Grip Autosport would like to thank Hugh for his service to our team and we wish him well at Holmqvist. We are very excited to have Kiara working with us and we look forward to many great results together."
Dwyer will compete in the Rolex 250 Miles of Monaco this weekend before joining the Formula Virtual circus for the next race in Austria next weekend.