Kate Nicholls, Chief Executive of UKHospitality, said: “While inflation has now stabilised, hospitality businesses continue to struggle as costs continue to rise, particularly across food, drink, energy and wages.

“The sector’s acute cost burden needs to urgently come down, if hospitality is to fulfil its ambition to deliver investment and growth into the economy.

“That can start at the Budget, if the Chancellor introduces a lower, permanent and universal business rates multiplier for hospitality.

“That would avoid the quadrupling of business rates bills when reliefs end in April, likely forcing businesses to raise prices to meet that rise, in turn threatening an inflationary spike.

“Hopefully, this stabilising of inflation will embolden the Bank of England to cut interest rates tomorrow, which is crucial in helping businesses still paying off Covid-related debt.”