The Eggleton family's Pony & Trap in Chew Magna will no longer operate as a gastropub when it reopens after coronavirus restrictions are lifted.
Due to its size the venue has been unable to trade since March 2020, prompting siblings Holly and Josh Eggleton to rethink plans for the site.
The pair said in an email update: "The Pony will remain our flagship venue, with our offering incorporating things you know us for, as well as some things you don't. It will be based around delicious food and unique experiences with all the charm and passion that is synonymous with the Pony.
"Sadly, our beautiful restaurant was simply too small to operate with safety guidelines in place. And in the long-term the coronavirus outbreak has had a huge effect - we, Holly and Josh, have concluded it is time to call curtains on the Pony & Trap as a ‘gastropub'."
Further specifics of the changes will be announced at a later date.
Josh and Holly, who won an Acorn Award in 2016, run the business along with their parents Gail and Chris, and brother Scott.
The family took over the Somerset restaurant in 2006 and it won a Michelin star in 2011, but lost the award in the 2021 edition of the guide due to its closure.
The Eggletons have two upcoming openings in the pipeline, including the Pony North Street restaurant in south Bristol which is set to serve ‘modern British bistro classics'.
They have also taken on the Queens pub in Chew Magna and are converting the upstairs area and skittle alley into four double bedrooms for overnight guests.
The Pony & Trap team are also due to participate in the 2021 return of Breaking Bread, an outdoor Bristol food pop-up which kept over 100 people in work in 2020.