London - Public borrowing in the UK unexpectedly surged in November to its highest on record, due to greater health, defence and EU spending and the weakest revenue growth in almost a year, official data showed on Tuesday.
The figures raise doubts about the government's plans to eliminate its budget deficit over the next four years, although the Treasury said it remained on track to do so.
The Office for National Statistics (ONS) said public sector net borrowing, which smooths some of the monthly volatility in government revenue and spending, came in at a record £22.774bn in November up from £16.719bn a year ago, and well above forecasts for it to hold steady at around £17bn.
The government's preferred measure on which fiscal forecasts are based, PSNB excluding financial sector interventions, came in at £23.314bn, up from £17.395bn a year ago, and also a record high.
Total public borrowing for the fiscal year to date is lower than it was a year ago, although the pound fell and gilt prices weakened slightly after the data as investors wondered whether November's poor figures was the start of a trend.
"The figures are extremely disappointing and a bit of a bolt out of the blue," said Investec economist Philip Shaw.
"November's numbers seem to be a result of very strong spending and weak receipts growth and it is very difficult to judge whether this is just a rogue figure or whether it represents something more fundamental."
The ONS said the deterioration was due to a 10.8% rise in central government spending compared with a year ago combined with an annual rise of just 3.1% in tax revenues - the smallest since last December.
Local government borrowing last month was more than treble that of a year ago at £2.868bn although the ONS said this was a volatile measure and could possibly be revised lower in subsequent months.
The figures looked better in the year to date. The PSNB excluding financial interventions for April to November came to £104.410bn compared to £105.067bn a year-ago, and the Office for Budget Responsibility forecasts it will hit £148.5bn this fiscal year.
"These outturns are in line with the OBR's latest forecast for borrowing to fall by almost £10bn this year compared to last," said a Treasury spokesperson.
The public sector posted a net cash requirement of £16.811bn, which was also above forecasts for a slight fall to £14bn and up from £14.782bn a year ago.
For the fiscal year to date, the PSNCR totalled £83.516bn, below the £96.158bn recorded between April and November 2009.
The ONS said public sector net debt - including financial sector interventions as a percentage of gross domestic product (GDP) - rose to 65.2%, its highest since records began in March 1993.
Excluding financial sector interventions, public sector net debt was 58% of GDP, also the highest since records began.
Public concerns about the scale of austerity measures needed to reduce government borrowing - including a rise in VAT from next year - are already weighing on confidence. A survey by GfK NOP showed consumer morale held at its lowest level since July in December.
"While the higher VAT rate from January should help to boost revenues, a sharp slowdown in consumer spending will dampen its near-term effect," said Hetal Mehta, economist at Daiwa Capital Markets.