The move is the PM's latest equality initiative and comes just
days after he pushed for same-sex marriage at the Conservative
Party conference, last week.
Southeast African country Malawi - which has received £200 million
from Britain over the past three years - has already had its aid
cut to £19 million after jailing gay couple Steven Monjeza, 26, and
Tiwonge Chimbalanga for fourteen years.
They were arrested two days after they had a traditional
engagement ceremony in Blantyre's Chirimba township, December 2009.
They were pardoned in May 2010 after international criticism
reached fever pitch with Madonna and The White House requesting
their release.
Now, International Development Secretary Andrew Mitchell said he
is willing to reduce aid to Uganda and Ghana unless they also drop
laws against gays.
Both either punish or plan to punish homosexuality with
discriminatory legislation.
Uganda, which is due to receive £70million in 2011, plans to
punish homosexuality with the death penalty. The president of
Ghana, which gets £36million a year, has promised to bring in
measures to 'check the menace of homosexuality'.
Gay activists have welcomed the pledge, which sends a clear
warning shot to developing countries.
A spokesman for Mitchell told the Daily Mail: "The Government is
committed to combating violence and discrimination against lesbian,
gay, bisexual and transgender people in all circumstances, in this
country and abroad. We take action where we have concerns.
"We only provide aid directly to governments when we are satisfied
that they share our commitments to reduce poverty and respect human
rights."