People in Steeple Aston say they are feeling the strain following the demolition of Heyford Station railway bridge.
Since Network Rail and contractor MPB Structures Ltd demolished the old bridge in January, the B4030 has been closed and vehicles diverted through Middleton Stoney, Kirtlington and Hopcroft's Holt.
The B4030 will remain closed for another six weeks while work continues to make sure it will be suitable for vehicles up to 40 tonnes in weight.
But the closure of the road has been blamed for a series of problems in Steeple Aston.
Andrew Peace, of Harris Stores and post office, said the village was like a ghost town.
He said: "We went into the Christmas period fine, but I am now trading at between 20 and 25 per cent less than I was before the festive break.
"We are not getting the passing trade. The village is like a ghost town. The shop is a very strong shop - if it was not, the current situation could kill us."
Some parents taking their children to and from Steeple Aston's Dr Radcliffe's Primary School are having to detour through Somerton and North Aston - a long route on unsuitable roads.
Parish council vice chairman, Richard Preston, believes the diversion has made an accident inevitable.
He said: "The parish council is asking Oxfordshire County council to consider installing a speed-activated speed limit sign and or a triangular warning sign alerting drivers to pedestrians near the school."
The B4030 is expected to be closed until March 31, while the replacement bridge is constructed.
Oxfordshire County Council's principle engineer for bridges, Martin Brain, said: "The three month road closure is necessary to carry out foundation work for the new bridge."
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