'Sherlock Holmes 3' is set for release at the end of 2020.

Robert Downey Jr.

Robert Downey Jr.

Warner Bros. and Village Roadshow Pictures have confirmed that the mystery period action film will hit the big screen on December 25 two years from now - nine years after the first sequel 'Sherlock Holmes: A Game of Shadows' dropped worldwide.

Robert Downey Jr. and Jude Law - who starred in the first and second films - will reprise their roles as suave detective Sherlock Holmes and Dr. Watson respectively.

The third instalment will be based on a script penned by Chris Brancato, while Susan Downey, Joel Silver and Lionel Wigram are on board to produce, Empire reports.

However, bosses are yet to secure a director - meaning Guy Ritchie, who directed the first two films, may have turned down the third movie or is yet to sign a contract.

Aside from Downey Jr and Law, no other cast members have been announced.

'Sherlock Holmes' was released on December 25, 2009, and earned $524 million globally, while the second flick 'A Game of Shadows' debuted in December 2011 and earnt $545.4 million at the worldwide box office.

Although fans are no doubt looking forward to seeing Downey Jr. slip back into his high-collared jacket with his slicked back hair, the festive season in 2020 looks set to be a busy one and somewhat competitive as James Cameron's long-awaited 'Avatar' sequel is scheduled to open on December 18, followed by 'Sing 2' on Christmas Day.