Retailers are feeling the pinch, with card spending plunging across the board.
Stats NZ data reveals retail electronic card purchases dropped 1.3% last month.
Kiwis are spending more overall compared to last year, but on cheaper food and are cutting back on buying items like clothing.
Retail NZ CEO Carolyn Young told Ryan Bridge margins are being squeezed and cash flows is tight.
She says the cost of things like freight and rubbish collection are up, and retailers are bearing the brunt
LISTEN ABOVE

Tony Philp: Hurricanes CEO ahead of the Super Rugby Pacific final against the Chiefs
03:38

Lisa Futschek: Seafood New Zealand CEO on the delay of the Fisheries Amendment Bill
04:00

Cameron Brewer: Minister for Small Business and Manufacturing on GDP growth
03:12