Liverpool’s gay businesses are being asked to contribute to the cost of the city’s Pride festival.

City council leaders are to invest £10,000 in the August 6th event but want gay bars and clubs which will profit from Pride to help out financially.

Last year’s event was Liverpool’s first Pride festival. More than 21,000 people joined the festivities, spending an estimated £500,000 in the city.

Cllr Ann O’Byrne, cabinet member for community safety, said: “I am confident we can build on last year’s success and attract even more people to celebrate LGBT culture.

“This not only supports our city’s bars, restaurants and hotels and boosts businesses, but it also sends out a clear message of solidarity and commitment to a community which sadly feel they are on the margins.”

Liberal Cllr Steve Radford, the chair of the Liverpool Gay Business Association, told the Liverpool Daily Post: “I have said it would not be economically reasonable to expect the local authority to bear the brunt of the costs without the gay community contributing as well.”

Liverpool Pride chairman Tommy McIlravey, said: “It is great news Liverpool City Council is continuing to support the city’s fledgling Pride festival.

“Last year we had a fantastic event and so many people from every walk of life, young and old, gay and straight, came together to celebrate the thriving LGBT culture in Merseyside, and I know even more people are itching to join in this year.”

Earlier this month, some reports claimed that the council was refusing to give the festival any financial help.

In February, city councillors revealed that they plan to promote and develop Liverpool’s gay quarter to cash in on the so-called ‘pink pound’.

The council has hired a planning consultancy to look at how the city can be marketed as a worldwide tourist destination for gay travellers.