The university caters to a wide variety of indoor and outdoor sports activities. Peradeniya University has one of the largest swimming pool and gymnasiums in Sri Lanka, which has facilities for indoor games like basketball, table tennis, badminton, netball and other sports activities such as weight-training, wrestling, etc. This complex has changing and washroom facilities, and can accommodate over one thousand spectators.
Facilities for outdoor games and sports are provided at the main sports grounds. This complex includes several tennis courts, a volleyball court, a running track, a ground for field events, a hockey ground, and cricket, soccer, and rugby grounds. Most of these facilities at the grounds and the gymnasium are occasionally used by schools, clubs and sports associations in the area.
Trained coaches are available for students who take part in both indoor and outdoor sports activities. In addition, students also obtain advice from senior and experienced players.
There is a range of recreational activities available to students. The university's Open Air Theatre (amphitheatre) named at the Prof. Ediriweera Sarachchandra (Sarachchandra open Air theater) is the first and the largest of its kind in the country. Popularly known as the wala (pit), an Annual Drama Festival is held in it. This is one of the main cultural events of not only the university, but also of the neighboring community. In addition to this, there is a well equipped indoor theatre, The E.O.E Pereira Theatre at the Faculty of Engineering. Dramas, cultural events, and music shows are often held in this theatre.
Movies are screened regularly at the Arts Theatre, which is the main auditorium of the Faculty of Arts. This has a seating capacity for over 600 persons. The Student Center Complex is a popular meeting place for students. It has a small stage and meeting area which serves as an informal meeting place as well as a space for staging plays, etc.