A man has denied murdering two friends who were squatting inside a house which was engulfed in fire.

Sian Sanchez, 36, and Howard Blake, 51, died from smoke inhalation following a blaze at the house, near Redbridge Park-and-Ride, on January 2, 2007.

James Cox, 63, of no fixed abode, denies two counts of murder over a fire at Redbridge Cottage in Old Abingdon Road, Oxford, between about 3am and 4.30am, a jury at Oxford Crown Court heard today.

Adrian Redgrave, prosecuting, said: "On the night of January 1, two people spent the night there - Howard Blake and Sian Sanchez.

"They did not emerge from that house alive. Whilst they were upstairs, a fire was started in the corner of the kitchen near the foot of the stairs. It was not lit to keep the house warm, it was lit to set fire to the house."

Mr Redgrave said Cox had been in a sexual relationship with Mrs Sanchez up until her death and was in a circle of friends which included Mr Blake.

He said Mr Blake had been living in a barn in Kennington until it was also destroyed by fire five days before his death.

Mr Redgrave said Cox had been seen by paramedics on December 28, after a woman reported a man lying in the road outside Redbridge Cottage.

He said: "He brushed aside their efforts to help him, but said he had been beaten up by a man and a woman and would get his own back on them."

On the night of the fatal fire, Cox twice rang police from a nearby phone box claiming Mr Blake was raping a woman in the house, the jury heard.

Mr Redgrave said two patrol cars and four police officers were sent to the house after the first call at about 1.30am.

He said: "Once inside they came across Howard Blake and Sian Sanchez, both of whom were less than welcoming.

"Blake was verbally threatening and Sian Sanchez said she was fine and seemed more concerned about her can of beer."

After finding the rest of the property empty, the police left.

At about 2.20am, Cox made another call from the same phone box. Officers traced the call and arrived at the phone box where they found the defendant "clearly affected by drink", the jury heard.

Mr Redgrave said Cox spoke to firefighters as they were dealing with the blaze, telling them his friends were in the back bedroom. He was also seen by CCTV in the vicinity of the house.

Cox was arrested at the scene and in interviews with the police said he had been drinking heavily with Mrs Sanchez at Redbridge Cottage during the evening.

Mr Redgrave said Cox admitted having sex with Mrs Sanchez that night before Mr Blake arrived at the house at about 12.30am and forced his way in.

Cox said Mr Blake was "stone drunk" and punched him in the face before throwing a microwave oven at him, the court heard.

Mr Redgrave said Cox told police he then left the house but could not say exactly what he did or where he went until he was seen speaking to the firefighters later that morning.

The case continues.