A cruise has been cancelled after a fire broke out at sea off the coast of Florida.

The Royal Caribbean ship was sailing around the Bahamas when it caught alight. More than 2,000 passengers and crew were on board but no-one was injured.

The company says the passengers will be flown from the Bahamas back to the US.

The cancellation is latest trouble for Carnival Corp, whose Triumph ship was disabled by fire in February leaving thousands of passengers stuck for days in the Gulf of Mexico. Nobody was injured in the fire and the cause remains unknown.

The cruise liner, named 'The Grandeur of the Seas', never lost power and was able to sail into port in Freeport.

Passenger Andrea Sanders said she slept on the deck with hundreds of others as smoke billowed out of the ship's stern. "I was terrified with it being my first cruise" Sanders told The Freeport News.

Photos show a substantial area of the stern burned on several decks, and burned-out equipment was also visible. Royal Caribbean said all guests and 796 crew were safe and accounted for.

The company said in a statement that it is "deeply sorry for this unexpected development in our guests' vacation".