The Chancellor said the Government will unleash a fresh round of investment incentives to support firms this autumn.
But he warned of “challenging times ahead” as figures showed families are suffering the worst squeeze on record.
He told the annual conference of the British Chambers of Commerce (BCC): “We know how important business investment will be to our recovery, so we want to make sure the autumn budget will continue to support that.”
Mr Sunak said the Government is working on plans to replace its “super deduction” scheme, which offers companies tax relief when they invest in productivity-boosting technology and assets, but is due to expire in Spring 2023.
He said: “What we’ve committed to doing is finding a more permanent replacement for the super deduction, which will continue to strongly incentivise business investment.”
The Chancellor’s remarks came after data showed real disposable incomes fell for the fourth quarter in a row.
Finances failed to keep up with soaring inflation once again at the start of the year – the longest sequence of drops since official figures began in 1955. Real household disposable income was down 0.2 percent, as income growth of 1.5 percent was outstripped by household inflation of 1.7 percent.
Family finances have now been under pressure for a straight year thanks to soaring prices.
It has prompted Mr Sunak to deliver targeted support and his £15billion package of wider aid announced in May has been being widely welcomed.
But the BCC has urged him to adopt a five-point plan to help businesses and warned current problems faced by firms, including wage demands, amount to an “impending cost of doing business crisis”.
Meanwhile, HMRC figures show 6.1 million people will pay the highest rates of income tax, at 40 or 45 percent, this financial year – up by nearly two million over the past three years.
And the ONS has confirmed its earlier estimation that GDP rose by 0.8 percent in the first quarter of 2022 – a decline in growth from 1.3 percent in the previous three months.
Fears of a UK recession are now growing as rising inflation, already at 9.1 per cent and set to soar above 11 per cent in the autumn, reins in household and business spending.