More retailers may consider trying to tempt customers with coupons and promotional labels after an expert warned of a slowdown in high street sales.

According to Professor David Blanchflower, a former member of the Bank of England's Monetary Policy Committee, consumer confidence is "dropping fast".

Writing in the Sunday Mirror, he said this is directly impacting on the amount shoppers are spending at high street stores.

As a result, major brands and retailers may need to adopt different promotional strategies to encourage people to open their wallets, such as adding expanded content labels to their items.

Professor Blanchflower commented: "A collapse in spending will almost inevitably push the economy back into recession later this year."

Nick Moon, managing director at GfK NOP Social Research, meanwhile noted that consumer spending has not been as "consistently low" as it is now for two years.

He added that next month's consumer confidence index should indicate whether the Budget has helped to "put fuel in the tank" of the economy or pour "more cold water on people's personal finances".

Denny Bros Ltd, 04 April 2011