The Chancellor Philip Hammond has been urged to freeze business rates ahead of next month’s Spring Statement.
The call follows new research which shows that nearly a quarter of million firms will experience above-inflation rate hikes in commercial property taxes this April.
Altus Group, which published the research, added that more than 50,000 will see increases of more than 20 per cent.
In total, 119,665 small premises, 110,502 medium sized premises and 12,107 large premises will see tax rises greater than inflation, increasing the tax take by £712.75 million over the year previous.
Alex Probyn, president of Altus Group, said Mr Hammond should follow through with pledges to increase business rates in line with the Consumer Price Index (CPI), rather than “phased” increases.
“The past few months have seen a stream of collapses across both the retail and hospitality sectors with many others teetering on the brink or considering large scales closures”, he said.
“Historically, the spring is when chancellors have made key fiscal decisions so it’s not too late for a freeze in inflationary rises to help cushion the blow for those in transition amidst challenging trading conditions.”