The government borrowed an extra £4.3bn last month, according to data released by The Office for National Statistics (ONS).

The figures mark the first January that the government has been forced to borrow money since records began in 1993. The county's debt now stands at approximately £178bn.

January is traditionally a strong month for tax receipts, but this year the ONS said both income tax and capital gains tax income fell sharply. Tax receipts dropped 11.8% compared with January last year, when the government was able to repay £5.3bn

"The worse than expected January figures further emphasise the dangers facing Britain's international credit rating. The public finances are always in surplus in January due to large seasonal tax revenue, but the deficit this year reinforces the need for credible and specific deficit-cutting measures in next month's Budget," said David Kern, chief economist at the British Chambers of Commerce.

Currently, the government expects public sector borrowing to peak at £178bn this year - equivalent of 12.6% of GDP. Chancellor Alistair Darling has pledged to half the deficit in percentage terms over the next four years.