The East Calder ace completed a historic first round win over Bradley Brooks on Saturday with a thrilling nine-dart finish in the final leg of his first ever appearance at the Alexandria Palace.
All eyes were on Borland as he stepped up to the oche for his second round showdown with Searle - the world's number 15 player - on Wednesday, but the 25-year-old appeared nervy up against a hostile crowd.
The Scot missed six doubles to check out the opening leg and went on to lose the first set 3-0 in under five minutes.
Borland recovered in the second set to hold his throw but was unable to break Searle who claimed the set 3-2 for a 2-0 lead.
Searle then completed the 3-0 win by breaking Borland's throw in the final leg of the match.