The flags were erected in Newbuildings in the run up to today’s 46 anniversary of Bloody Sunday when 14 unarmed civilians were shot dead by members of the British Parachute Regiment in the city.
The Foyle MLA said: “The flying of a Parachute Regiment flag at any time will increase community tensions in this area.
“However, on this the anniversary of Bloody Sunday, those responsible for flying the flag have given no consideration to the pain this would cause the Bloody Sunday families.
“I appeal to those responsible and to the wider community to consider the hurt this has caused to the Bloody Sunday families and to the wider community.
“In the North West we have made so much progress to heal the hurt of the past and to work together respectfully, we cannot allow anyone to drag us back to the past.
“This flag needs to come down now – and all political representatives must show leadership and unite so that the flag is removed,” added Mr Eastwood.