World champions Spain have been knocked off their throne after a poor loss to Chile ended their World Cup hopes.

The defending champions rarely looked worthy of a win as they fell behind after 19 minutes of tonight's clash with Chile's Eduardo Vargas finishing off a sweeping counter-attack.

The South American side then doubled their lead just before half-time with a curling finish from Charles Aránguiz after he was first to latch onto a rebound from a free-kick.