A car on fire set alight a house in the West Coast last night, with two young children making a lucky escape from the inferno.

Police are investigating the suspicious blaze on Firth Street in Cobden, after a vehicle was deliberately set on fire about 6.15pm.

The fire quickly grew and took hold of a nearby house. The occupants of the property, including two young children, were able to escape unharmed.

Police say there is significant damage to both the car and house.