MPs have voted by 73 votes to 72 against a controversial plan to allow pension fund members to opt out of the new system, following months of debate and uncertainty.

The plan was drawn up by coalition party NSC, which says the new system currently being implemented will mean more financial risk for everyone.

The measure was spearheaded by MP and former actuary Agnes Joseph, who has described the new system as “disastrous”. In essence, she wanted to allow participants to vote on whether to shift their own pension pot to the new system or remain with the old one.

The plan was supported by three of the four coalition parties but not by the right-wing liberal VVD.

The aim of the legislation, first mooted 16 years ago and approved by both houses of parliament, is to make corporate pensions more sustainable.

If the new system comes into full operation in 2027 as planned, workers with a company pension scheme will no longer know in advance how much pension they will receive.

Social affairs minister Eddy van Hijum, who represents the NSC in the cabinet, said Joseph’s proposal would lead to at least a two-year delay, while others argued that costs would surge because two systems would have to be maintained in parallel.

The Dutch pension system is currently based on three pillars – the state pension AOW, compulsory corporate pension schemes – either sector-wide or company-based – and individual or private pension schemes.