You will need to apply this patch in order for the interactive tests to function as without it the secure part will never build with that part enabled https://review.trustedfirmware.org/c/TF-M/tf-m-tests/+/9431
After applying that and building using:

cmake -DTFM_PLATFORM=lairdconnectivity/bl5340_dvk_cpuapp -GNinja -DTFM_TOOLCHAIN_FILE=../toolchain_GNUARM.cmake -DTEST_S=off -DTEST_NS=on -DCMAKE_BUILD_TYPE=debug -DTFM_INTERACTIVE_TEST=on -DTFM_PERIPH_ACCESS_TEST=ON -DTFM_IRQ_TEST=ON ..

And running it, the first test passes but the freezes at the same point as yours does, it does not continue with the next task

Submitted for review at https://review.trustedfirmware.org/c/TF-M/tf-m-tests/+/9431