Watch as fire breaks out at Dubai's luxury Palm Hotel following Iranian missile strike

Footage of flames engulfing the side of The Fairmont hotel, located on Dubai's famous Palm Jumeirah, was hit on Saturday evening as, show a fierce fire taking hold.

The five-star branch of the luxury hotel chain was hit by debris from an intercepted Iranian missile, according to reports.

It comes as Iranian state media reported that an attack had been launched on Dubai - with the missile believed to have been intercepted.

The intended target of the strike remains unclear.

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Four people have been injured in the attack and subsequent fire, with fears that British tourists staying at the hotel could be among the injured.

According to The Tui website lists the hotel as a location that offers gourmet dining options, an award-winning spa and pools with city views.

The hotel offers 391 luxury guest rooms, with the hotel a favourite among affluent British tourists.

There is currently a US military presence in the country.

The UAE ministry of defence confirmed that a missile had been intercepted on Saturday, according to reports from the Emirates News Agency - as cited by Reuters.

Dubai's media spokesperson confirmed it has deployed emergency response teams to the location in response to an "incident" in a building in the Palm Jumeirah area.

It follows earlier strikes from Tehran after Iran fired a barrage of missiles at targets in the Gulf.