Image copyright Valeriya/Getty

The Northern Ireland economy could be slipping into recession, according to a survey by Northern Ireland Chamber of Commerce and BDO.

It suggests more than three quarters (77%) of respondents believe a recession is likely in the next six to 12 months.

More than 200 firms that collectively employ 25,000 people in NI took part.

Businesses were asked what impact the ongoing political uncertainty has had on their operations.

NI chamber chief executive Ann McGregor said: "These figures are tangible warning signs about current economic conditions in Northern Ireland, with this quarter's performance being arguably the weakest in almost a decade."

Two thirds (67%) said they were very concerned about the impact that the lack of an executive will have on their business.

'Not scaremongering'

Two thirds of respondents said they have experienced a negative impact as a result of Brexit related uncertainty in terms of sales, costs and the ability to recruit.

Half of those who took part in the survey have scaled back or put on hold investment plans.

"This is not scaremongering," said Ms McGregor.

"It is a stark reality check for business leaders, employers, politicians and anyone with a vested interest in the Northern Ireland economy.

"Behind each and every one of these statistics sit thousands of real, local businesses who are feeling the harsh impacts of Brexit uncertainty and the political vacuum at Stormont."