Residents of a town in Latvia have been left confused and disturbed by a swastika Christmas decoration said to be a "folk symbol"/.

The swastika, with stars surrounding it, is brandished on home on Kalnetas Street in Saldus, western Latvia.

Local authorities claim it’s not related to the Nazis or fascism but is actually an ancient folk symbol, RT reports.

View photos Council says this Christmas decoration is not a swastika. Source: Twitter/mfridmans More

A district council representative told the Delfi News Portal the owner of the house regularly puts up Christmas decorations and this year he chose the “Fire Cross”, which is the traditional Latvian symbol of fire.

In Latvian tradition, the "Fire Cross” is iconic to the god of thunder, light, lightning, power and happiness.

It was also used as an insignia by the Latvian Air Force between 1918-1934.

A local janitor, Uldus, said it’s not a swastika because, “a swastika is the other way around”.

However, the Nazi swastika actually faces the same way as the one pictured on the house, and is tilted at the same angle as the Third Reich’s 1933-1945 flag.