The government is poised to announce a climbdown on forthcoming increases to the business rates bill faced by pubs.

In the coming days the government is expected to say it will make changes to how pubs’ business rates are calculated, resulting in smaller rises to bills.

Treasury officials say they have recognised the financial difficulties facing many pubs after sharp rises in the rateable value of their premises.

The move follows pressure from landlords and industry groups that included more than 1,000 pubs banning Labour MPs from their premises.