The UK economy will outpace the struggling eurozone in the first two years after Brexit, the International Monetary Fund (IMF) has predicted for the first time.

Britain also outpaced the monetary union in 2019, giving it three straight years of faster growth, according to the IMF's latest forecasts.

The fund slashed growth across the eurozone, warning that a weaker German recovery and a slowdown in Spain will weigh on the region’s economy this year.

It also cut global economic forecasts again for 2020, but pointed to tentative signs that a worldwide slowdown is coming to an end.

Global growth will be 3.3pc this year and 3.4pc in 2021, the IMF said. This is down 0.1 and 0.2 percentage points respectively from its last forecast in October.

UK growth will accelerate to 1.4pc and 1.5pc in 2020 and 2021, respectively, as Brexit uncertainty starts to lift and business investment returns. The IMF said investor appetite has been boosted by hopes a hard Brexit will be avoided.

However, the sluggish performance of Germany and Italy will hold the eurozone economy back. The bloc's growth is expected to be 1.3pc this year and 1.4pc next year.

US President Donald Trump’s trade and foreign policy were criticised in a thinly veiled attack by the IMF on the eve of the US president’s arrival in Davos.