Are Manchester Pride Performers and Suppliers Owed £1.3 Million?

The financial troubles of Manchester Pride have culminated in the charity owing a staggering £1.3 million to various performers, suppliers, and venues. Following a report detailing its financial situation, it has been revealed that 182 individuals and businesses are waiting for payments, with amounts owed ranging from £30 to £330,329. The charity, which recently entered liquidation, has faced challenges such as lower-than-expected ticket sales and the overarching cost-of-living crisis that has impacted the events industry.

Last updated: 16 October 2023 (BST)

What’s happening now

Manchester Pride, one of the UK's largest LGBT events, is grappling with severe financial issues after announcing its liquidation last month. The charity is now in the process of addressing debts owed to a broad array of creditors, which include notable performers and essential services. The financial report highlights the urgent need for transparency and resolution for those impacted by the charity's collapse.

Key takeaways

Manchester Pride owes over £1.3 million to 182 creditors.
The liquidation follows multiple years of financial losses and low ticket sales.
Key performers, including Nelly Furtado, are among those owed significant amounts.

Timeline: how we got here

The financial difficulties surrounding Manchester Pride have evolved over several months, culminating in the charity's decision to enter liquidation on 16 October 2023. Key milestones include:

August 2023: Manchester Pride hosts its annual event but suffers from disappointing ticket sales.
September 2023: Directors seek legal advice as financial concerns mount.
11 October 2023: The charity learns it was unsuccessful in its bid to host EuroPride 2028, leading to an emergency meeting.
16 October 2023: Manchester Pride officially enters liquidation.

What’s new vs what’s known

New today/this week

The recent financial report reveals the total amount owed by Manchester Pride, highlighting specific sums owed to various performers and suppliers. Notably, Nelly Furtado's production company is owed £145,775.75, while security firm Practical Event Solutions is owed £167,892. The ongoing impact of the cost-of-living crisis and the struggles within the events industry are also underscored.

What was already established

Prior reports indicated that Manchester Pride was facing financial challenges, but the full extent of its debts was not public until now. The charity had already announced plans for the 2024 event, despite ongoing concerns regarding its financial viability.

Impact for the UK

Consumers and households

The financial collapse of Manchester Pride raises concerns for attendees and local businesses that rely on the influx of visitors during the event. With the event's future uncertain, local economies may face negative repercussions from the loss of tourism and associated spending.

Businesses and jobs

The debts owed to various suppliers, including significant sums to service providers like security firms and venues, may lead to wider implications for the local event industry. The inability to pay these debts could result in job losses and reduced capacity for businesses to participate in future events.

Policy and regulation

The situation has triggered scrutiny from the government’s Charity Commission, which is examining concerns regarding the charity's management and financial practices. As the local council expresses its desire to support a new iteration of the event, regulatory frameworks may need to adapt to ensure transparency and accountability.

Numbers that matter

£1.3 million: Total debt owed by Manchester Pride to performers, suppliers, and venues.
182: Number of creditors awaiting payment.
£330,329: Amount owed to the Mayfield Depot, the venue for Pride events.
£167,892: Debt owed to Practical Event Solutions, the security firm for the event.
3: Consecutive years of financial losses leading to the charity's liquidation.

Definitions and jargon buster

Liquidation: The process of winding up a company, typically involving selling off assets to pay creditors.
EuroPride: An annual international event that celebrates LGBTQ+ pride, hosted by different European cities.
Charity Commission: A regulatory body in England and Wales that oversees charities to ensure they operate within the law.

How to think about the next steps

Near term (0–4 weeks)

In the immediate future, Manchester Pride's leadership will focus on finalising the liquidation process and communicating with creditors. The impact on next year's event will be a key consideration as the organisation reflects on its future.

Medium term (1–6 months)

As the charity enters liquidation, discussions around potential restructuring or the formation of a new organisation may begin. Stakeholders, including local businesses and community members, will likely engage in dialogue about the future of Pride events in Manchester.

Signals to watch

Updates from the Charity Commission regarding Manchester Pride’s regulatory status.
Community responses and initiatives aimed at reviving Manchester Pride.
Changes in ticket sales and financial reports from similar events in the UK.

Practical guidance

Do

Stay informed about developments from Manchester Pride and related organisations.
Support local businesses impacted by the event's financial issues.
Engage with community discussions regarding the future of Pride events.

Don’t

Do not ignore calls for financial transparency from event organisers.
Do not make assumptions about the future of Manchester Pride without updated information.
Do not overlook the importance of community support for the event’s revival.

Checklist

Review any contracts or agreements related to services provided to Manchester Pride.
Monitor official communications from Manchester Pride and the Charity Commission.
Engage with local advocacy groups focused on LGBTQ+ rights and community events.

Risks, caveats, and uncertainties

The financial landscape surrounding Manchester Pride is fraught with uncertainty. While the charity's liquidation paves the way for potential restructuring, it also raises concerns about the future of LGBTQ+ events in Manchester. Legal actions by creditors may further complicate matters, and the evolving economic environment may impact future planning and community support.

Bottom line

The collapse of Manchester Pride serves as a stark reminder of the financial vulnerabilities faced by charitable organisations, particularly within the events sector. As the community reflects on the situation, the path forward will depend on transparency, collaboration, and the unwavering support of those who believe in the importance of Pride events in fostering inclusivity and celebration.

FAQs

What led to Manchester Pride's financial troubles?

Manchester Pride's financial difficulties stemmed from multiple years of losses and disappointing ticket sales during its events, ultimately leading to its liquidation.

How much money is owed to performers and suppliers?

The charity owes a total of £1.3 million to 182 creditors, ranging from small amounts to significant debts owed to major performers and service providers.

What does the future hold for Manchester Pride?

While Manchester Pride has entered liquidation, discussions about restructuring and community involvement in future events are anticipated, alongside support from local councils.