Two men with gang affiliations have been arrested on firearms charges after an inquiry into the burglary of guns and ammunition.

The men, aged 56 and 57, were arrested after police searched a vehicle and address on the outskirts of Dunedin this week.

The searches came after the burglary of a Dunedin address on October 25 where a large number of firearms and ammunition were stolen.

Both men have been charged with unlawful possession of a pistol, three charges of unlawful possession of military-style firearms, and one charge of receiving stolen firearms.

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Police also recovered a large amount of ammunition, and said further charges are likely.

Both men are affiliated to gangs, according to police.