Xtravision, which employs 1,024 people across the island of Ireland, is set to appoint a receiver today.

All of the video rental and games company's stores are to remain open while a buyer is found by receivers Ernst & Young.

According to sources, the withdrawal of credit insurance and a downturn in rentals led to decision.

Retail Excellence Ireland, which represents retailers, blames the Government's "lack of focus" on the needs of the domestic economy.