I don’t believe an admiral will sacrifice a capital ship and more than 1,000 lives to throw them into a battle they are sure to lose. We know of suicide attacks during the war and Denmark Strait wasn’t one of them.<
I did not say “sacrifice.” I said that the RN considered that it might cost at least one capital ship to take out the Bismarck. Hood was not the ideal choice to face the Bismarck, nor was the brand new PoW, but they were available and also fast enough. The RN knew that battlecuisers were vulnerable, that was why Hood got extra armor on the basis of the lessons of the battle of Jutland. As always, you fight a war with what you have, and not what you would like to have.
To answer your question, the Hood and the POW should have immediately ganged up on Bismarck…"
Yes, of course, and the fact that Hood mistook the Prinz Eugen for the Bismarck cost it valuable time in getting the range.
“How could Holland have deployed his ships?”
You can argue what you want with hindsight, but at the time the RN did not know much about the Bismarck, or that it had been constructed for another battle of Jutland, with strong side armor at the cost of deck armor. Obviously, it would have been good if the British ships could have delayed B and PE until another cruiser or two came up and could have dealt with PE by themselves.