Analysts are expected to downgrade Tesco’s 2009 profit forecasts when the supermarket giant announces its results next week.

Piper Jaffray analyst Mike Dennis said that forecasts could be reduced by as much as 5 per cent following reports that Tesco has halted the roll out of its Fresh & Easy stores across the US.

Panmure Gordon analyst Philip Dorgan said about Fresh & Easy: “Our view is that Tesco has given itself every chance of success. It has researched the market well. It has not been afraid to invest in the infrastructure required to support its unique format and it is planning to succeed. This does not, of course, mean that it will succeed.”