Owner Iain Clark thanked villagers for their backing in recent weeks but cited a "lack of support" from the Post Office for his decision not to pursue the bid.

The news will come as a blow to campaigners who opposed plans to move the post office into the David Sands convenience store for a 12-month trial period.

The Kinross-based Sands chain applied to take over the service earlier this year ahead of the retirement of sub-postmaster David Proud.

Speaking for the first time since the row erupted, chief operating officer Ewen Chisholm said the firm had been "a little surprised" by the backlash from the community following the Post Office's decision.

He told the Fife Herald: "David Sands was the biggest user of the old post office and we were very keen to protect that service.

"We don't see it as being a massively profitable entity to take on - we see it as being important to the people of Strathmiglo.

"Our feeling was that we were doing something community spirited by trying to keep it there and we've been a little surprised at the reaction in the village."

Read more in this week's Fife Herald.