UK '˜overtaken by India' as wealth shrinks after EU vote

India's economy has overtaken that of Britain for the first time in more than 150 years.

The UK's economy has fallen behind India's for the first time in more than a century following June's Brexit vote. Picture: Neil Hanna

Economists said the fall was in large part due to a slump in the value of the pound following the vote to leave the European Union.

India’s Home Affairs minister announced on Twitter that the nation had taken a “big leap” and become the sixth largest economy in the world - behind the US, China, Japan, Germany and France.

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The UK’s 2016 GDP of £1.87 trillion converts to $2.29 trillion at current exchange rates, whereas India’s GDP of 153 trillion rupees converts to $2.30 trillion.

India also surpassed China as the world’s fastest-growing economy in February, while the International Monetary Fund in October projected the country’s GDP would increase by 7.6 per cent in 2017.

The UK’s economy is expected to grow by 1.8 per cent this year and slow down to 1.1 per cent in 2017.

Since Britain voted to leave the EU in June - which could also lead to departure from the EU’s single market - the pound has plunged in value.