Bill gazetted to scrap MPs’ pension scheme

• As of January 25, 2024, pension payments were being made to 330 former MPs. In addition, 182 spouses of deceased MPs were receiving pensions, bringing the total number of beneficiaries to over 500

By Darshana Sanjeewa Balasuriya  

A Gazette notification has been issued for the Parliamentary Pensions (Repeal) Bill, paving the way for the abolition of long-standing pension entitlements for Members of Parliament and their spouses.  

The move fulfills a key manifesto pledge under the government’s “A Thriving Nation – A Beautiful Life” policy framework.  

The draft legislation, titled the Parliamentary Pensions (Repeal) Act of 2025, seeks to repeal the Parliamentary Pensions Law, No. 1 of 1977. Once enacted, it will end the practice of granting lifetime pensions to MPs who have completed a minimum five-year term.  

The government has earlier clarified that the repeal will not be retrospective. Accordingly, pensions already paid will not be recovered, but all future entitlements will be fully discontinued.  

The bill follows a series of approvals during 2025. Cabinet policy approval was granted in June, while the final draft later received clearance from the Attorney General. Subsequently, in November 2025, the Cabinet—on the recommendation of the Minister of Justice and National Integration—approved gazetting the bill and submitting it to Parliament for approval.  

As of January 25, 2024, pension payments were being made to 330 former MPs. In addition, 182 spouses of deceased MPs were receiving pensions, bringing the total number of beneficiaries to over 500.