The festive competition, between Ludlow's Bull Hotel and the Feathers Hotel, brought the town to a standstill, with spectators lining up to watch the contest.
Despite having claimed victory for the past five years the Bull didn't have the pull required this time, with the Feathers taking a long-awaited victory.
Front office manager at The Feathers, Jack Adams-Taylor, said that he had done his own research ahead of the Boxing Day contest to try and wrestle back the crown – but put the success down to teamwork rather than knowledge of tug-of-war tactics.
He said: "We pulled together as a team and had our kitchen team out with us and it was all down to teamwork obviously, which is what we demonstrate constantly at the Feathers with the service we provide."
He added that the event made for a proper spectacle for the onlookers.
He said: "Anywhere else it might be deemed a bit odd for a hotel to battle a tug-of-war on the main road on a bank holiday but Ludlow is a place that is so special for many people in different ways and the traditions we hold here are so special, and it shows the sense of community that we come together every year and celebrate – it is really charming to see."
He added: "I was reading up on tug-of-war and techniques to use – having one person either side of the rope, trying to get as low down as you can, but I think realistically it was down to teamwork and not my research!"
Rob Filbrandt, landlord at the Bull Hotel, said he was gutted to lose – but added that it was time their opponent won.
He said: "Unfortunately the Feathers won. We lost the reigning champions title of winning five years in a row, but we have to let them win one."
He added that there was definitely fresh focus from their opponents as they sought to win the title back after years of disappointment.
He said: "The people on their side this year, we were like 'where have this lot come from?'. It was like the Bull versus Ludlow not the Bull versus the Feathers!"
He said that despite the loss it was great to see so many people out watching the contest.
He said: "It is a good bit of fun. It is a tradition that has gone on for 50 years or so. It used to be on Shrove Tuesday and got moved to Boxing Day, and it has definitely become a festive tradition. The hunt leaves and then everyone knows to get down to the Feathers and the Bull."