diff --git a/package-lock.json b/package-lock.json
index b7498bc692..145aa862eb 100644
--- a/package-lock.json
+++ b/package-lock.json
@@ -5459,10 +5459,11 @@
       }
     },
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-      "version": "1.6.0",
-      "resolved": "https://registry.npmjs.org/@netlify/functions/-/functions-1.6.0.tgz",
-      "integrity": "sha512-6G92AlcpFrQG72XU8YH8pg94eDnq7+Q0YJhb8x4qNpdGsvuzvrfHWBmqFGp/Yshmv4wex9lpsTRZOocdrA2erQ==",
+      "version": "2.0.0",
+      "resolved": "https://registry.npmjs.org/@netlify/functions/-/functions-2.0.0.tgz",
+      "integrity": "sha512-YJc8LikRByxcQ731cZo75TS7nu82baG02sy632AMNmtDLBP6QsRHN4R1rDjjpge24R0cMchLqbifnVNggs4FWQ==",
       "dependencies": {
+        "@netlify/serverless-functions-api": "1.7.0",
         "is-promise": "^4.0.0"
       },
       "engines": {
@@ -5743,6 +5744,17 @@
         "unstorage": "^1.0.0"
       }
     },
+    "node_modules/@netlify/ipx/node_modules/@netlify/functions": {
+      "version": "1.6.0",
+      "resolved": "https://registry.npmjs.org/@netlify/functions/-/functions-1.6.0.tgz",
+      "integrity": "sha512-6G92AlcpFrQG72XU8YH8pg94eDnq7+Q0YJhb8x4qNpdGsvuzvrfHWBmqFGp/Yshmv4wex9lpsTRZOocdrA2erQ==",
+      "dependencies": {
+        "is-promise": "^4.0.0"
+      },
+      "engines": {
+        "node": ">=14.0.0"
+      }
+    },
     "node_modules/@netlify/ipx/node_modules/mkdirp": {
       "version": "3.0.1",
       "resolved": "https://registry.npmjs.org/mkdirp/-/mkdirp-3.0.1.tgz",
@@ -5879,10 +5891,12 @@
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     "node_modules/@netlify/serverless-functions-api": {
-      "version": "1.6.0",
-      "resolved": "https://registry.npmjs.org/@netlify/serverless-functions-api/-/serverless-functions-api-1.6.0.tgz",
-      "integrity": "sha512-Lr5mxLAvSZyJhigSc0zhvAuusNR6VdJNvOmsDkxIN6f9xzmRpWyAEecCGtBc+hoSZlIeLzI7oFcKhaTzXcO2JA==",
-      "dev": true,
+      "version": "1.7.0",
+      "resolved": "https://registry.npmjs.org/@netlify/serverless-functions-api/-/serverless-functions-api-1.7.0.tgz",
+      "integrity": "sha512-wqkraNSlom2uHYVSjdzl5XiUnlgSjElQ2jamjNhoidXW2n2jKPgefzn47DT4tfLe6qewHOctz66I+pjVbLz9Ow==",
+      "dependencies": {
+        "urlpattern-polyfill": "8.0.2"
+      },
       "engines": {
         "node": "^14.18.0 || >=16.0.0"
       }
@@ -25462,8 +25476,7 @@
     "node_modules/urlpattern-polyfill": {
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       "resolved": "https://registry.npmjs.org/urlpattern-polyfill/-/urlpattern-polyfill-8.0.2.tgz",
-      "integrity": "sha512-Qp95D4TPJl1kC9SKigDcqgyM2VDVO4RiJc2d4qe5GrYm+zbIQCWWKAFaJNQ4BhdFeDGwBmAxqJBwWSJDb9T3BQ==",
-      "dev": true
+      "integrity": "sha512-Qp95D4TPJl1kC9SKigDcqgyM2VDVO4RiJc2d4qe5GrYm+zbIQCWWKAFaJNQ4BhdFeDGwBmAxqJBwWSJDb9T3BQ=="
     },
     "node_modules/use": {
       "version": "3.1.1",
@@ -26215,11 +26228,11 @@
     },
     "packages/runtime": {
       "name": "@netlify/plugin-nextjs",
-      "version": "4.40.0",
+      "version": "4.40.1",
       "license": "MIT",
       "dependencies": {
         "@netlify/esbuild": "0.14.39",
-        "@netlify/functions": "^1.6.0",
+        "@netlify/functions": "^2.0.0",
         "@netlify/ipx": "^1.4.3",
         "@vercel/node-bridge": "^2.1.0",
         "chalk": "^4.1.2",
@@ -29937,10 +29950,11 @@
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     "@netlify/functions": {
-      "version": "1.6.0",
-      "resolved": "https://registry.npmjs.org/@netlify/functions/-/functions-1.6.0.tgz",
-      "integrity": "sha512-6G92AlcpFrQG72XU8YH8pg94eDnq7+Q0YJhb8x4qNpdGsvuzvrfHWBmqFGp/Yshmv4wex9lpsTRZOocdrA2erQ==",
+      "version": "2.0.0",
+      "resolved": "https://registry.npmjs.org/@netlify/functions/-/functions-2.0.0.tgz",
+      "integrity": "sha512-YJc8LikRByxcQ731cZo75TS7nu82baG02sy632AMNmtDLBP6QsRHN4R1rDjjpge24R0cMchLqbifnVNggs4FWQ==",
       "requires": {
+        "@netlify/serverless-functions-api": "1.7.0",
         "is-promise": "^4.0.0"
       }
     },
@@ -30132,6 +30146,14 @@
         "unstorage": "^1.0.0"
       },
       "dependencies": {
+        "@netlify/functions": {
+          "version": "1.6.0",
+          "resolved": "https://registry.npmjs.org/@netlify/functions/-/functions-1.6.0.tgz",
+          "integrity": "sha512-6G92AlcpFrQG72XU8YH8pg94eDnq7+Q0YJhb8x4qNpdGsvuzvrfHWBmqFGp/Yshmv4wex9lpsTRZOocdrA2erQ==",
+          "requires": {
+            "is-promise": "^4.0.0"
+          }
+        },
         "mkdirp": {
           "version": "3.0.1",
           "resolved": "https://registry.npmjs.org/mkdirp/-/mkdirp-3.0.1.tgz",
@@ -30163,7 +30185,7 @@
         "@delucis/if-env": "^1.1.2",
         "@netlify/build": "^29.20.6",
         "@netlify/esbuild": "0.14.39",
-        "@netlify/functions": "^1.6.0",
+        "@netlify/functions": "^2.0.0",
         "@netlify/ipx": "^1.4.3",
         "@types/fs-extra": "^9.0.13",
         "@types/jest": "^27.4.1",
@@ -30290,10 +30312,12 @@
       }
     },
     "@netlify/serverless-functions-api": {
-      "version": "1.6.0",
-      "resolved": "https://registry.npmjs.org/@netlify/serverless-functions-api/-/serverless-functions-api-1.6.0.tgz",
-      "integrity": "sha512-Lr5mxLAvSZyJhigSc0zhvAuusNR6VdJNvOmsDkxIN6f9xzmRpWyAEecCGtBc+hoSZlIeLzI7oFcKhaTzXcO2JA==",
-      "dev": true
+      "version": "1.7.0",
+      "resolved": "https://registry.npmjs.org/@netlify/serverless-functions-api/-/serverless-functions-api-1.7.0.tgz",
+      "integrity": "sha512-wqkraNSlom2uHYVSjdzl5XiUnlgSjElQ2jamjNhoidXW2n2jKPgefzn47DT4tfLe6qewHOctz66I+pjVbLz9Ow==",
+      "requires": {
+        "urlpattern-polyfill": "8.0.2"
+      }
     },
     "@netlify/zip-it-and-ship-it": {
       "version": "9.16.0",
@@ -45002,8 +45026,7 @@
     "urlpattern-polyfill": {
       "version": "8.0.2",
       "resolved": "https://registry.npmjs.org/urlpattern-polyfill/-/urlpattern-polyfill-8.0.2.tgz",
-      "integrity": "sha512-Qp95D4TPJl1kC9SKigDcqgyM2VDVO4RiJc2d4qe5GrYm+zbIQCWWKAFaJNQ4BhdFeDGwBmAxqJBwWSJDb9T3BQ==",
-      "dev": true
+      "integrity": "sha512-Qp95D4TPJl1kC9SKigDcqgyM2VDVO4RiJc2d4qe5GrYm+zbIQCWWKAFaJNQ4BhdFeDGwBmAxqJBwWSJDb9T3BQ=="
     },
     "use": {
       "version": "3.1.1",
diff --git a/packages/runtime/package.json b/packages/runtime/package.json
index 45f94934a1..bbca25ea29 100644
--- a/packages/runtime/package.json
+++ b/packages/runtime/package.json
@@ -12,7 +12,7 @@
   ],
   "dependencies": {
     "@netlify/esbuild": "0.14.39",
-    "@netlify/functions": "^1.6.0",
+    "@netlify/functions": "^2.0.0",
     "@netlify/ipx": "^1.4.3",
     "@vercel/node-bridge": "^2.1.0",
     "chalk": "^4.1.2",