Loyalist paramilitaries have dealt a fresh blow to the fragile Northern Ireland peace process.

The UVF and Red Hand Commandos announced they were suspending links with the international decommissioning body led by John de Chastelain.

They also announced that that their political wing - the Progressive Unionists - would be ceasing all talks with Sinn Fein.

The groups said there was no immediate threat to the status of the loyalist ceasefire.

PUP assembly member Billy Hutchinson claimed the move had been made in reaction to a London demand for loyalists to "roll over and have their bellies tickled".

A UVF source said there was a growing feeling that they were being left out of the political negotiations.

"We feel that loyalists have been airbrushed out of the process by the two governments and republicans - in other words we don't matter," said the source.

PUP leader David Ervine said: "Tony Blair and Gerry Adams only have eyes for each other: that is the practical reality.

"It is significant that the whole of unionism right across the board is saying pretty much enough is enough.

"An open transparent process only has a chance. A closed process only dealing with the wants of Sinn Fein will not succeed."

Northern Ireland's chief constable, Hugh Orde, described the UVF's statement as a "worrying development".

The move is also partly due to rising tensions among the loyalist hard men.

A bloody feud between rival gangs that has seen several murders and bombings is continuing.

Northern Ireland secretary Paul Murphy recently ordered that convicted loyalist terrorist Johnny Adair be returned to prison for breaking the terms of his early release licence.

Murphy claimed Adair had been involved in orchestrating terrorism, drug dealing, extortion, money laundering and the procurement and distribution of weapons.