Four former federal MPs have lost a High Court challenge after arguing against reductions to their retirement allowances and Life Gold Passes, which entitles them to free travel.

Barry Cunningham, Tony Lamb, John Moore and Barry Cohen brought the case after a series of decisions by the remuneration tribunal that wound back the retiring allowance and travel entitlements for MPs.

The Life Gold Pass travel scheme was introduced in 1918 and originally provided unlimited domestic travel to former MPs.

Since 2002, a series of decisions have seen the scheme wound back.

Currently it allows former MPs who qualify for the scheme 10 free domestic return trips per year.

The court was asked to rule on whether the reductions in entitlements represented an acquisition of property by the Government on other than just terms, which would breach Section 51 of the constitution.

The court rejected the argument, finding that changes to the entitlements scheme, including the Life Gold Pass, did not constitute acquisition of property, and the Parliament was entitled to vary the terms of allowances.

Subsequently, the court found the Government's decisions to wind back entitlements did not breach the constitution.