The financial challenges faced by LGBTQIA+ people are complex and multifaceted. It is important to remember these challenges as we celebrate Pride this year, and to work to create a more equitable financial system for everyone.
Since the first Pride celebration in the UK almost 50 years ago, the LGBTQIA+ community has made huge strides in overcoming many barriers to equality. But they are still disproportionately affected by financial challenges, including earning gaps, discrimination in the workplace, and higher rates of homelessness.
The earnings gap
- There’s reportedly a 16% pay gap between LGBTQIA+ professionals and their straight and cisgender counterparts.
- A significant number of LGBTQIA+ people are living on benefits and often living below the poverty line. 63% of trans people are unemployed and unable to get a job because of the discrimination they experience in employment because of their gender identity.
- In a report conducted by Gov.uk, evidence was found of discrimination in recruitment, in promotion, deployment and access to social networks within particular occupations in the UK. The study found that "the workplace remains unfriendly for many LGBTQIA+ people with many experiencing harassment and bullying, impacting on job choice, reduced progression and inability to openly identify at work".
- One in five of the LGBTQIA+ young people surveyed on a YouGov online panel said that there were some jobs that they either would not or had not considered because of their sexual orientation. The police service, armed forces, teaching and manual trades were negatively associated with homophobia and avoided.
- The London School of Economics (LSE) found that there may be some truth to the 'gay jobs' stereotype, with people actively seeking out industries that have a reputation for being accepting.
Higher rates of homelessness
- 24% of homeless young people in the UK identify as LGBTQIA+.
- Homophobic and/or transphobic abuse was identified as the most prolific cause of homelessness within the LGBTQIA+ population, with young people coming out thought to be at particular risk.
- Consistent evidence suggests LGBTQIA+ people experience and expect discriminatory practice from housing services.
- In a survey conducted by queer homeless charity Akt, just 13% of LGBTQIA+ young people said they felt supported by parents or step-parents while homeless.
- In the same survey by Akt, almost two-thirds (61%) felt frightened or threatened by family members before they became homeless.
Financial support for LGBTQIA+ people
In addition, LGBTQIA+ people may lack access to financial advice and education, and debt isn’t always something they feel comfortable discussing with friends or family either.
This Pride Month and all year around, everyone in the LGBTQIA+ community should have access to good debt advice and support, no one should be left behind.
Our hotline for the community is open 7 days a week, 8am to 8pm. Call or send a WhatsApp message at 0800 808 5664.
All of our expert advisors uphold our core values of inclusivity and openness and take part in diversity training, so we’re confident you’ll feel comfortable with any one of our team.