Finanical pressure on businesses in Northern Ireland is "likely to get worse" later this year as inflation costs continue to spiral out of control.
Derry chamber president, Aidan O'Kane said the cost-of-living crisis and inflation were 'putting serious pressure on businesses across the North West'.
Mr O'Kane comments come as MPs in Westminister voted in controversial new legislation this week to give ministers powers to override parts of the post-Brexit deal on Northern Ireland.
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Earlier this month, the Northern Ireland chamber boss told MyDerry it was "imperative" that any threat of a trade war was taken off the table so that any breakdown in relations does not hurt businesses in Northern Ireland.
"In the immediate and short term, the legislation will have little direct impact on local businesses until it is passed and becomes law," Mr O'Kane said.
"However, in the longer term, the uncertainty, lack of clarity, and demonstrable lack of trust between the EU and the UK at this moment will have a serious effect on businesses in the North West and across NI.
"Unilateral action by either side is not the way to overcome these issues, and we believe any challenges posed by the Protocol can be overcome through dialogue and negotiation between both sides."
Meanwhile, Mr O'Kane said businesses were ultimately being left "high and dry" by the lack of a functioning Stormont Executive.
He continued: "The cost-of-living crisis is having a real knock-on effect on businesses, especially small and independent traders, in the North West.
"While we are thankfully leaving the pandemic and its impacts behind us, the growing cost of doing business is squeezing small and independent traders especially. There are also instances of some businesses sourcing cheaper products from outside the local Northern Ireland market in order to remain in business, which in turn takes money out of the local economy.
"Inflation is rising rapidly as are the costs of energy, fuel, and materials for all sectors.
"Certain industries are experiencing acute and severe staff shortages as well, meaning they are forced to close or turn down work. All this leaves households with less disposable income to use which in turn means less trade for our businesses.
"Inflation is putting serious pressure on businesses as energy, materials, wages, and fuel are rising uncontrollably on a weekly basis.
"This is all compounded by the fact that we are without a functioning government in Northern Ireland and leaves businesses high and dry."
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