The owners of a shop selling adult-only goods have vowed to stay open for three years despite failing to get a sex shop licence.

Last month Brighton and Hove City Council turned down an application for the premises in St George's Road, Brighton, to operate as a sex shop.

The Adult Shop had been open for several weeks before the application was rejected and has continued to sell "adult clothing" and sex toys.

Proprietors Nick Brewster and business partner Danny Bianciardi criticised the way their licence application was handled and referred the matter to the local government ombudsman.

The shop has provoked opposition from residents and traders, who say it is out of keeping with the area.

Mr Brewster said: "We are allowed to sell sex-related objects so long as they are not the only things we sell.

"We are not allowed to sell R-rated videos in the shop but we are allowed to sell them by mail order.

"The council really messed us around when we applied for the licence.

"They didn't want us to do it at all, even though we were just trying to do properly what lots of other people do illegally.

"We are here for three years now whether people want us here or not because that is how long our lease is."

Jonathan McFarlane, who owns a card and gift shop in the road, said the shop looked seedy with its blanked-out window and was not in keeping with the rest of the street.

He declared: "What they are selling is really objectionable. It is all rubber suits, equipment, and masks.

"A lot of people around here are very upset and the residents and traders have got a petition against it.

"We have nothing against sex or sex shops but St George's Road is the wrong place.

"It would be different if it was at the bottom of St James's Street or by the station because that is the city centre.

"This is a small urban village, where a lot of families with children live and the shops are accessible to everyone."

Councillors opted last month to stick to an earlier decision of having only one licensed sex shop in the city.

The licence has been held for many years by the Private Shop in Surrey Street, near Brighton station.