Police are investigating a fire in Mayfield this morning which destroyed a house on Lawson Street.

Around 2.40am this morning emergency services were called to the fire which had fully engulfed the house.

Tasmania Fire Service crews extinguished the blaze which caused an estimated $250,000 damage to the property.

Two occupants of the property were treated at the scene by Ambulance Tasmania paramedics for smoke inhalation with one transported to the Launceston General Hospital.

The cause of the fire is undetermined at this time with investigations continuing.

Anyone with information in relation to the fire is asked to contact Tasmania Police on 131 444 or Crime Stoppers anonymously on 1800 333 000.