A stolen vehicle has crashed in Welcome Bay after the driver failed to stop for police.

A police spokesperson says the vehicle crashed in the early hours of Sunday morning.

"Police indicated for a stolen vehicle to stop and it failed to."

A pursuit was initiated around 3am, but abandoned due to the high speeds the car was doing.

The car was a bright yellow Honda and looked to have about four people in it.

The vehicle was followed for about seven minutes before it crashed at a Welcome Bay property.

A police spokesperson says the driver was arrested and taken to hospital to be checked out for a suspected head injury.

"The others in the car fled, but three were later caught by other police units who were doing area inquiries."