Parliamentarians approved a public service pension increase yesterday, with about 3,700 seniors expected to receive extra this October.

David Burt, the Premier, said the Pension (Increase) Amendment Act 2026 will raise the rate of pensions by 10 per cent effective April 1, noting that public service pensions had been frozen since 2014.

“That freeze has been raised with me by retirees, unions and many different forms over the past years,” he said.

“These are former teachers, nurses, police officers, firefighters, corrections officers, administrative officers and many other public officers who work across Government and, of course, gave years of service to this country.

“Retirees have seen their costs go up. They've served Bermuda, and they've done their part and they've waited a long time for this increase.”

Mr Burt said that the freeze was in place because the public service superannuation fund was not in a sustainable position and action needed to be taken.

He added: “The important thing is that this government actually did that work.”

Mr Burt said the public service pension fund is now on a sustainable path, giving the Government the capacity to consider pension increases.

He said that while the increase will take effect from April 1, the increased payments will not begin until October, with recipients receiving retroactive amounts for the intervening period.

Mr Burt also told the House of Assembly that the changes were not a return to the automatic cost-of-living increases previously included in the Act.

He said: “The Government must continue to manage the fund responsibly and we must protect its long-term sustainability.”

The Premier added that while some might call 10 per cent insufficient, it was what the Government could responsibly afford.

“This is a real increase that is being delivered after the Government did the work to place the fund on a stable footing,” Mr Burt said.

“It is also important to note that this Bill sits alongside the wider work this government has done to support seniors and retirees.”

Douglas De Couto, the Shadow Minister of Finance, said he appreciated a delicate balance needed to be struck and was supportive of the approach in concept.

He said: “When we look around, we know that health insurance costs are up for everybody, and that is one reason why people will need these higher pension payouts. The cost of living in general is up.”

Dr De Couto noted that Bermuda had a declining population and asked what options had been considered with retirements impending. He also questioned why payments would not be made until October.

Mr Burt said the delay stemmed from the compensation benefit unit having limited staff.

The Government announced the “one-time” pension increase in the Throne Speech in February. However, Edward Ball Jr said the increase was insufficient to cover the rising cost of living faced by seniors.

In a Letter to the Editor published in March, Mr Ball, the former general secretary of the Bermuda Public Services Union, said the 2014 pension freeze had a lingering impact.

He added: “It is time to restore the biennial cost-of-living adjustment to ensure that the men and women who built this country are not forced to choose between their electricity bill and their prescription drugs.”