Children were among those who managed to escape a blaze that sank a boat off Queensland’s Whitsundays Coast on Monday morning.

Emergency crews were called to the Shingley Drive in Airlie Beach shortly before 10am after reports of a boat fire.

A Queensland Ambulance Service spokesman said four adults and three children were involved but none reported any injuries.

A Queensland Fire and Emergency Service spokeswoman said another boat had picked up the occupants before the fire engulfed their vessel.

She said fire crews were called to the scene and Marine Rescue volunteers helped to take them to the blaze.

She said the crews located the fire below deck at the rear of the boat but the vessel was fully engulfed when they arrived.

By 11:15am it was fully submerged.

Photos and videos of the incident show plumes of black smoke threading through sky several hundred metres away from shore.

Fire crews have now referred the incident to Maritime Safety Queensland.

The incident comes less than 24 hours after five backpackers were rescued after their boat capsized in Airlie Beach.