A 41-year-old Scarborough man who was arrested on suspicion of being in possession of a firearm has been released while police enquiries continue.
It comes after police executed a warrant at a property in Oxcliff on Wednesday with forensic teams searching the house and garden yesterday.
A 41-year-old man was arrested on suspicion of being in possession of a firearm and Class B drugs.
One neighbour, who did not wish to be named, told The Scarborough News: "The man who lives there was arrested yesterday.
"It seems like the police waited for him to go to the shop in Wreyfield Drive before picking him up, they wanted him out of the house.
"They have not told us anything but they have been digging in the garden, I've never seen so many police coming and going at one house."
A North Yorkshire Police spokesman said: "The man has been released under investigation while enquiries continue.
"There are no further updates at the moment."