Home > Indian History > History of India > Privy Purse in India
Privy Purse in India
Privy Purse in India referred to a system of payment made to the royal families of the earlier princely states of India. It was abolished in 1971 by Indira Gandhi.

Share this Article:

Privy Purse in IndiaPrivy Purse in India was a payment that was made to the royal families of the former princely states of India. The Privy Purse was created as part of the agreements made by them to merge with Union of India in the year 1947. Later in 1949, the various Indian Princes merged their princely states whereby the individual independent rulers lost their ruling rights. Until the Constitutional Amendment of 1971 was passed the Privy Purse in India was sustained to the royal families. Through this amendment, which was implemented after an extensive legal conflict, the privileges and allowances, provided by the Central Government of India to the Indian princes, ceased to exist. But there were some instances where the privy purses sustained for years for those rulers who held ruling powers before the independence of India in 1947.

History of Privy Purse in India
After the British Government ceded its authority to independent India in 1947, there were around 565 princely states in India. The position and rank of these states were determined through separate treaties. Further more, the importance of each princely state was decided upon by a system of Gun salutes. Most of these princely states of India signed the Instrument of Accession with India or Pakistan on the eve of Indian independence. Some of these states also demanded total independence after the surrender of the British East India Company. Jodhpur, Bhopal and Travancore signed the Instruments of Accession prior to August 15th, 1947, due to the discretion of V.P. Menon and Sardar Vallabhbhai Patel. After attaining independence, the princely states of Hyderabad, Junagadh and Kashmir hesitated, but were incorporated later.

The Instruments of Accession required that the princely states only cede communications, foreign relations and defence to India. Democratic institutions were established in the princely states and later in the year 1949, these states were completely merged with India and new states were formed. Cochin and Travancore Ambliara formed the new state of Thiru Kochi by merging with India. During 1947, the Indian princes and the royal families were allowed to retain large amounts of funds as their Privy Purse. But in 1949, after the princely states and their revenues were acquired by the Government of India, the Indian administration provided Privy Purses to the rulers of these states and their families as well. The Privy Purse in India was determined by various factors like history of the ruling dynasty, gun salutes assigned to the state and the revenue of the princely state.

Abolition of Privy Purse in India
Indira Gandhi, the former Prime Minister of India, proposed the motion to abolish Privy Purse in India in the year 1971. This was successfully passed as the 26th Amendment to the Constitution of India in the same year. The then Prime Minister Indira Gandhi declared that the abolition of Privy Purse was based on the requirement of the government to decrease the revenue deficit and also on equal rights for all citizens. Most of the former rulers protested the abolition, mainly through campaigns to contest seats in the 1971 Lok Sabha elections, but were defeated by vast margins.


Share this Article:

Related Articles

More Articles in History of India


History of Uttar Pradesh
The state was the heart of Mahabharata war and the history of Uttar Pradesh is very much the history of India. The place finds its mentions in Hindu epics Ramayana and Mahabharata.
History Of Archaeology In India
History of archaeology in India contributes a lot to define the past history and the social life of India.
Mughal Architecture during Babur
Mughal Architecture during Babur is of adequate significance in Mughal history, as the emperor introduced Mughal architecture in India, during 16th century.
Princely State of Patdi
Princely State of Patdi or Patri was incorporated as a part of the Baroda Agency, which was a sub division of Western India States Agency.
Architecture during Sayyid and Lodi Dynasty
Architectures during the Sayyid and Lodi dynasty were mainly the tombs and monuments for the dead rulers. It were carefully designed and meticulously constructed.
Brahmanical Sources of Ancient History
Brahmanical Sources of ancient history are contained in the Vedas and they constitute one of the most important literary sources of information about ancient India.
Female Education In British India
The over brimming enthusiasm among zealous Hindu reformers welcomed female education in British India.
Revenue System of Mauryan Empire
Revenue system of Mauryan Empire can be divided into eight categories. The principal revenue of the state was the land revenue, taxes from traders, artisans and professional taxes were also collected.
Mughal Architecture During Jahangir
Mughal architecture during Jahangir`s period was relative dull in comparison to that of Akbar dynasty.
Princely State of Satlasna
Princely State of Satlasna was amongst the former native states of India that was appointed as one of the Indian princely states during the early 19th century.
Coins of Chola Empire
Coins of Chola Empire were issued in gold, silver and copper and carried the Chola emblem.
Social Life during the Pala Period
Religious toleration and simple living were the characteristics of social life during the Pala period.
Coins of the Chalukya Dynasty
Coins of the Chalukya Dynasty was reintroduced in the South India after a brief break of coinage less period of nearly three century. Chalukyas issued coins only in gold and they exhibit a brilliant artistic skill of the engraver.
Costumes of Indus Valley Civilisation
Costumes of Indus valley Civilization have been considered as the basis for Indian clothes. Sophisticated ornaments and make up were used during that age.
Development of Science under Gupta Empire
Development of Science under Gupta Empire was progressive and it had attained considerable perfection. Mathematics, astronomy, medicine, chemistry, physics and metallurgy were the most prominent of the sciences at that time.
Culture under Delhi Sultanate
Culture under Delhi Sultanate had enduring aspects to it. It included the society, the religious condition, literature and art and architecture of that period.
Princely State of Hapa
Princely State of Hapa was incorporated as a part of the Baroda Agency, which was under the administrative control of the Western India States Agency.
Economy Under Chola Dynasty
Economy under Chola dynasty was strong and well developed. The economic life of the people of the Chola Kingdom was well balanced with their social life.
Coins of Khilji Dynasty
Coins of Khilji Dynasty had an influential feature that was followed by the other dynasties.
Religion During Mauryan Dynasty
Religion during Mauryan dynasty became a considerable episode in Indian history with an esteemed lineage of rulers.