"We are pleased that UK retailers and energy suppliers are voluntarily phasing out these lamps before European rules are introduced later this year."
Lord Hunt claimed the bulbs contained a smaller amount of the substance than mercury thermometers, which the EU has banned, but the government was looking at safer alternatives such as LED lights, which did not contain any mercury and had a longer life.
"We very much hope we can see the new technology come to market in the next few years," he told peers.
Lib Dem peer Lord Redesdale backed the move to low-energy light bulbs, describing it as "one of the most positive moves the government has made recently".
He claimed that the Palace of Westminster had saved 61% of its energy costs by swapping to low energy bulbs.