A historic town in the southwestern province of Yunnan that attracts millions of tourists each year is a firetrap, a safety official has warned.

Lijiang Old Town residents are flouting China's fire safety laws, said Mao Bo from the town's fire prevention authority.

The official said the close-standing wooden buildings in the UNESCO World Heritage Site should not be used as hotels or restaurants.

Nor are there safe distances between streets or proper fire prevention channels, added Mao.

Mao's comments come after three fires there this month alone, and four major blazes this year in Lijiang.

"The whole town is violating fire prevention laws and the buildings should not open as hotels and restaurants," Mao said.

With a history going back more than 800 years, Lijiang was once an important stage on the old tea horse road.

It is famed for its bridges and complex and ingenious waterways system that still functions effectively today.

It received UNESCO World Heritage List status in 1997, increasing its popularity as a tourist destination.

Lijiang attracted more than 20 million visitors in 2013 — up 30 percent on the previous year. Mao said the town has 100,000 business owners.

Lijiang bar and restaurant owner Xia Wei admitted that he was concerned about the fire risk, having witnessed a small hotel run by a friend destroyed by fire within minutes on April 6.

Town government fire regulations stipulate that hotels with more than 20 rooms must have automatic fire extinguisher and alarm systems. However, few businesses obey this.

"The authority will only fine a business 200 yuan (US$32) for violating regulations, and they won't be suspended," one business owner said.

This month, fires were reported on April 6, 10 and 14. And on average, a major blaze occurred in the ancient town each year between 2009 and 2013.

Last year, tourism profits increased by 32 percent on 2012 to 27.87 billion yuan, according to the Lijiang municipal tourism bureau.

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