According to local fire and rescue services, the alarm was raised at 2:51am on Monday morning, with fire-fighters from Faro and Loulé despatched to the scene along with GNR police.

No injuries were reported in the fire which has been passed on to PJ police detectives to further investigate.

The company has locally been named as Luz Car.

Police have so far refused to speculate on the causes of the fire.