Delivering his Budget speech, Sunak told MPs he would give businesses hardest hit by the pandemic a 50 per reduction in business rates for one year.

Pubs, music venues, cinemas, restaurants, hotels, theatres, and gyms will be eligible to claim a discount on their bills of 50 per cent, up to a maximum of £110,000.

Sunak said the tax cut was “worth almost £1.7bn”.

The chancellor said he would not be abolishing business rates altogether.

He told MPs: “We on this side of the House are clear that reckless, unfunded promises to abolish a tax which raises £25bn every year are completely irresponsible.

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“It would be wrong to find £25bn in extra borrowing, cuts to public services, or tax rises elsewhere, so we will retain business rates.

“But with key reforms to ease the burden and create stronger high streets.”