THE landlords of a village pub say that a neighbouring village hall has driven them out of business.

Ann Seed and John Nettleton, who run the Blacksmiths Arms, in Mickleton, Teesdale, said last night that entertainment nights at the village hall had affected their trade so badly that they will be forced to leave.

The couple, from Durham, have run the pub for the past four years and said they had worked hard to build the business.

But they are unhappy that the village hall is selling drinks at events, including Rhythm and Blues nights and carnival events, and say they cannot compete.

They are also concerned about parking problems that the nightclub-style entertainment staged by the hall has caused in the village.

Following news that the village hall has been given the go-ahead by Teesdale District Council's licensing committee to continue hosting entertainment, the couple have vowed to leave the pub.

Ms Seed, 44, said: "We have built up a really good relationship in the village and we have worked really hard to make this business work, but we refuse to be in competition with the village hall.

"The events at the village hall have affected our business, and I don't want us to get into a row with the village hall, but we aren't happy with the way it is run and, ultimately, it has driven us out of business.

"This is in no way sour grapes, but at the end of the day we have had enough."

Last night, the chairman of Mickleton Village Hall committee, Dave Hutchinson, hit back, saying events at the hall had brought a lot of trade to the village.

He said: "We have brought people into the village, and to be honest a lot of the visitors to our events go and drink at the Blacksmiths Arms, which is surely good for the pub.

"We can only hold a maximum of 12 events at the hall every year, and the Blacksmiths Arms would not be able to host them anyway."

A police spokesman said that a check of the Mickleton crime records going back three years revealed 56 incidents, none of which related to functions at the hall.