Customers, staff and neighbours watched as fire tore through a pub last night. Diners and drinkers fled The Mill in Willingdon Drove, Eastbourne.

Police erected temporary barriers to keep hundreds of people at a safe distance as 50 firefighters fought to contain the blaze.

This morning, the full extent of the devastation was apparent and arson has not yet been ruled out.

Fire crews from Eastbourne, Seaford, Pevensey, Bexhill, Hailsham and Herstmonceux were alerted at about 8pm after calls from pub staff.

One team from Eastbourne was already tackling a shed fire in Priory Road, which involved gas cylinders, when it received the call.

Police cordoned off the road, diverting traffic and keeping the crowds away from danger.

Smoke from the blaze could be seen from the outskirts of the town.

Kevin Wilson, from Langney, watched the drama unfold with his family.

He said: "The flames kept shooting up. It was very dramatic. I'm not surprised so many people came out to see it."

Pub staff watched in silence as The Mill succumbed to the flames and the manager declined to comment.

Leading Firefighter Andy Tottle, from Eastbourne, said one crew had stayed on the scene all night to dampen down any hotspots but the fire was out by 1.30am.

He said: "It appeared to have started at the back, on the ground floor. The Travel Inn next door was untouched, though. There was nobody in the building when we got there. Everyone had got out."

A spokesman for the Eastbourne Travel Inn said guests were evacuated from the hotel as a precaution but allowed back later.

Ambulances were on standby at the scene for most of the evening but no casualties were reported.

The fire was thought to have started in or near the kitchen and fire investigation teams were on site this morning. Crews also returned to the scene to retrieve equipment and begin the task of clearing up.

Staff at a day nursery, Just Learning Ltd, which shares a site with the pub, said it was open for business as usual today.

A spokesman for the Spirit Group, operators of The Mill pub, said: "Thanks to the swift actions of the team at the pub the building was quickly evacuated and no one was injured. We are co-operating fully with the police and fire service."