Pubs and live music venues in England will be given a 15% discount on their business rates bills from April and will not see increases for two years, the government announced.
It comes after a backlash against November's Budget, which left many facing major increases in their business rates bills.
The government says that pubs have faced significant pressure as their numbers have fallen by nearly 7,000 since 2010, a roughly 15% reduction and amongst the highest across hospitality overall.
The support package will save the average pub an additional £1,650 in 2026/27, it adds.
Kate Nicholls, Chair of UKHospitality, said:
'We welcome the recognition by the Prime Minister and the Chancellor of the scale of the challenges facing the hospitality sector. They have listened to us about the acute cost challenges facing businesses, all of which is impacting business viability, jobs and consumer prices.
'The rising cost of doing business and business rates increases is a hospitality-wide problem that needs a hospitality-wide solution. The government's immediate review of hospitality valuations going forward is clear recognition of this.
'The devil will be in the detail, but we need to see pace and urgency to deliver the reform desperately needed to reduce hospitality's tax burden, drive demand, and protect jobs and growth. We will work with the government over the next six months to hold their feet to the fire to deliver this.'
Internet link: HM Treasury