East Anglia’s business community was largely unimpressed by Budget measures announced today by Philip Hammond to help firms facing massive increases in rates bills.

The Chancellor used his speech to unveil a £435m package of support – including a £1,000 cut for most pubs affected by the recent revaluation – but there was disappointment that plans for future changes appear to fall short of the wholesale reform of the system many believe is necessary.

Mr Hammond said that firms set to lose small business relief would have the increase in their monthly rates bill capped to £50 in year one.

Pubs with a rateable value of less than £100,000 (about 90%) will receive a £1,000 discount on their rates this year and there will be a £300m fund for some councils to offer “discretionary relief” to hard-pressed firms.

The Chancellor also indicated that revaluations may be carried out more often in future, to prevent such big changes, and acknowledged a need for traditional retailers to be treated more fairly in comparison with online operators who rely less on “bricks and mortar”.

However, Rebecca Bishop, owner of the Two Magpies Bakery in Southwold and a member of Southwold Chamber of Trade, which has been campaigning strongly on the issue, said that, although it was “good that the Chancellor was listening”, the measures announced did not go far enough.

“Many businesses in Southwold are not getting relief and so will not benefit from the new cap, and for those which do it is unclear what will happen in the second year,” she said. “We are also concerned that the £300m fund is for local authorities which are worst hit, not for specific local areas.”

And of the longer-term proposals, she added: “The whole system is need of reform, as has been clearly shown by the latest revaluation.”

John Dugmore, chief executive of Suffolk Chamber of Commerce, said: “The £300m made available to soften rises is welcome, but we need councils to be responsive and at the top of their game in using their discretion, otherwise the local impact will be minimal.

“Equally, it was good to hear the Chancellor acknowledging that there is scope to reform the revaluation system. The lack of a timetable and any detail is, however, frustrating as we need answers and direction now.”

David Burch, director of policy at Essex Chambers of Commerce, added: “We welcome the short term support for businesses hardest hit by business rates increases but were disappointed that the Chancellor appeared to rule out a proper review of the existing system to look at developing a tax that is fit for the 21st Century and fair to businesses.”