Boro's awful run in the competition continued on Saturday.
Jono Greening was without a string of players with Lewis Maloney, Ste Walker, Harry Green and Alex Wiles unavailable due to injury.
Leon Gibson-Booth was cup-tied, with Dom Tear suspended and Rocco Coyle making his debut, after signing on Friday, on loan from Hull City.
The Seadogs dominated the first half with Luca Colville striking the post.
However, hosts Leek Town, from the division below, fired the winner on the hour.
They almost doubled their advantage, late on, but for a superb Ryan Whitley stop.
Greening spoke to SAFC TV after the final whistle:
"Yeah obviously massively disappointed. I think we probably controlled the game for the first 58 minutes especially first half, probably at, 70, 75% possession. We didn't probably test the keeper enough. We've had maybe three or four efforts at goal. And then I think the goal comes just before 60 minutes, we were just about to put Rocco [Coyle] on.
"We give them a few chances on the counter attack. But we had to try and get back in the game. And then our decision-making in the final third let us down. I think, Zane's had a couple of shots over the bar. Alex had a shot over the bar. Lucas had the one right at the end last minute, where it's come out to him and he's volleyed over the bar so really, yeah. Disappointed, some of the play was good without an end product. And obviously, disappointed, we conceded a sloppy goal from us."
Scarborough Athletic are next in action on Saturday, at home to Hereford, in National North, with a 3pm kick-off.
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