The 20 foot Ella was on course from the Folly in the River Medina to Gosport when the mishap occurred. The crew was taking down sails while the engine was going when the jib sheet became entangled in the propeller.
Lifeboat crewman Chris Cockroft went aboard with a tow rope and the Ella was towed to Cowes Yacht Haven.
Solent Coastguards had alerted the lifeboat of the emergency at 7.14 am and the lifeboat, helmed by Max Rimmington, returned to station at Shepards Wharf Marina at about 8.45 am.
• It has been a busy weekend for Yarmouth’s RNLI crew too after three yachts ran aground in Colwell Bay on Saturday afternoon.
Two were re-floated but one had to be towed back into deeper water. The crew was alerted by coastguards at about 2.20pm.