MYSTERY surrounds the future of a family-owned pub closing its doors due to the 'rising costs' of running a business.

Bosses behind The Kings Arms in Hawkshead issued a statement online this week revealing that pub is now closed until further notice.

The Grade-II listed pub is steeped in more than 500 years of history, and has been run by the same family for two generations.

A spokesman for The Kings Arms said: "The pub has traded amazingly over the summer and it was nice to see so many familiar faces.

"With the rising costs of running a business and the bleak winter months ahead we have decided to close until next year.

"Thanks for your support Mat."

READ MORE: The Kings Arms in Hawkshead announces closure due to 'rising running costs'

Speculation surrounds the future of the Lake District pub, with rumours suggesting the site had been bought by major pub retailer and brewer chain, Greene-King.

However, the company denied acquiring the pub.

A sign put up on the pub doors reportedly says the tavern has been sold but customers are yet to find out the identity of the new owner.

The opportunity to run the historic pub arose last September when the owners advertised for a new tenant to take on the reins.

READ MORE: Opportunity to run historic Kings Arms in Hawkshead

The same family has owned the pub for over three generations spanning more than 75 years.

News of The Kings Arms’ closure has sparked concern from Mail readers about the future of the pub industry.

Darren Gill said: “The pub will be a thing of the past soon, perhaps the government or the lottery can help this British tradition to still keep going

Anne Cummings said: “It’s my favourite pub when I go to Hawkshead.”

Dud Don said: “It’s one of hundreds that will close nationally unfortunately. With ongoing price rises as well as people not having expendable income due to cost-of-living crisis.”