Shops continue to be hit by high unemployment and low consumer confidence

NZIER's latest survey of retailers shows sales remain weak and profit margins continue to shrink.

EB Games has confirmed plans to close all its stores, in the same week Auckland Asian retail group Yoyoso goes into liquidation owing millions of dollars.

Retail NZ boss Carolyn Young says retailers need to see discretionary spending increase.

She says customers must feel confident about job security and being able to afford the essentials, before they look at what's left over.