Admiral Horatio Nelson has been spared from an embarrassing defeat - just before the 200th anniversary of his greatest victory.

Regulars were stunned when told his name was to be removed from their village pub, the Lord Nelson at Gainford near Barnard Castle, County Durham.

They were dismayed to hear its name was to be changed to The Gainford shortly before national celebrations this October to mark his triumph at Trafalgar, where he lost his life.

Residents refused to turn a blind eye, especially as the historic inn had its name changed in October 1805 to honour his heroic feat. Originally, after being built in 1745, it had been called the Bunch of Grapes.

But yesterday, after a string of protests, landlord Graeme Dawes announced that the inn, which is soon to undergo a £250,000 refurbishment and extension, will not have its name changed after all.

He knew nothing about the proposed change until the owners, Punch Taverns of Burton-on-Trent, referred to the inn as The Gainford when applying to Teesdale District Council for planning consent for the work.

Mr Dawes said yesterday, "As soon as I saw this, I got on to the bosses and insisted itwould be a terrible mistake, especially in a year when major celebrations are planned.

"Apparently, someone felt the new name would suit the image of the reshaped premises, but when I told them how wrong it would be, they accepted that I was correct. I am relieved that the idea has been scrapped. This is a victory for common sense."

One customer, Brian Pearson of Gainford, said yesterday, "The name change was a dreadful idea. We all thought it was crazy. Thank goodness the old name has been saved."

A spokesman for Punch Taverns said: "We hope our revised plans meet with everyone's approval and we look forward to showcasing our fantastic new-look pub for them."