The movement to repeal the 'Diversity, Equity, Inclusion (DEI)' policy of the Donald Trump administration is impacting the United Kingdom across the Atlantic. As U.S. corporations are increasingly halting sponsorships amid political controversy surrounding DEI, LGBTQ+ festivals are being canceled or scaled back throughout the UK.
According to Bloomberg News on the 4th (local time), about 75% of this year's event organizing committees in the UK Pride Organisers Network (UKPON) experienced a reduction in corporate sponsorship, with 25% reporting that their sponsorship funds were cut by more than half. As a result, some events are being completely canceled or greatly reduced in scale.
The event most affected is 'Pride in London,' scheduled for July 5. This event, which attracts more than 1.6 million attendees every year, has a budget of about £1.7 million (approximately 290 million won) and relies heavily on corporate sponsorship. However, this year, the departure of major U.S. corporations that have provided sponsorship for several years has cast doubt on its execution.
Christopher Joel DeShields, the CEO of Pride in London, noted that "U.S. corporations among global sponsors are cutting support due to the retreat from DEI, creating a distinctly different atmosphere from previous years."
Local small events have also been hit hard. Events planned for June, in recognition of LGBTQ+ Pride Month, have been consecutively canceled, with community parades in cities across the UK, such as Southampton, Hereford, and Taunton, being scrapped. The southern port city of Plymouth has decided to forgo the official event and hold an alternative community-led event instead.
This trend has been analyzed as having intensified since President Trump signed an executive order recently that defined DEI policies as illegal. Trump is pressuring corporations to cease related activities by opposing so-called 'woke capitalism,' which pursues 'political correctness.' Consequently, U.S. corporations are withdrawing from sponsorship related to LGBTQ+ and racial equality under the guise of political neutrality.
According to a survey conducted by the U.S. research firm Gravity Research in April, two out of five U.S. business leaders said they plan to scale back pride-related activities this year, and 40% of all corporations reportedly expressed concerns about consumer backlash.
Furthermore, the political situation within the UK is also affecting the withdrawal of sponsorship. An analysis suggests that as the Supreme Court of Scotland recently ruled that 'legal gender is based on biological sex,' some corporations have completely withdrawn their sponsorship from related events amidst the intensification of debates surrounding transgender rights.
In fact, the official website of the Pride in Edinburgh event lists only five official sponsors this year. Among them are German-based supermarket Lidl and British retailer Tesco, but this is a sharp decline compared to 13 sponsors last year. Pride in London also shows that major corporations, including Just Eat, Deloitte, and Skyscanner, which have long provided sponsorship, are absent from this year's sponsor list.
Jamie Love, the marketing director of Pride in Edinburgh, remarked, "The number of corporations sponsoring has drastically decreased, making this the driest year yet."
Event planning organizations are seeking new revenue models for survival. De Ruelin, chair of UKPON, said, "We are considering various revenue models, such as expanding local government subsidies and charging admission fees for free events." Ian Hawley, CEO of LGBT HERO, a UK LGBTQ+ organization, criticized, "While we may request sponsorship from corporations again once the political situation stabilizes, the community will remember their absence."