According to reports from drivers on Facebook, initially the crossing gates and warning lights were stuck down causing queues and delays on Grantham Road, London Road and Mareham Lane of up to 20 minutes.
They were then opened but the traffic lights were stuck on red in all directions, forcing drivers to take a risk and go through, creating a risky free-for-all.
County highways engineers were called to the scene and a county council highways spokesperson said: “An engineer is currently on site. A temporary solution has been found and the lights switched back on.
“The next step is to work with Network Rail to find what caused the malfunction between the lights and the level crossing, so we can make sure it doesn’t happen again.”