
Prime Minister Gordon Brown has admitted making "mistakes" in abolishing the 10p rate of income tax.
The Prime Minister told the BBC that the government "didn't cover as well as we should have" losses to low earners without children and pensioners aged 60 to 64. But Mr Brown said he was "listening" and "learning" as prime minister.
Mr Brown announced the abolition of the 10p starting rate of income tax in his last Budget as Chancellor, in 2007. He recently told BBC Radio 4's Today programme this had helped the poorest in society most "because 85% of the benefits [of the old rate] went to the highest earners". However, he added: "We made two mistakes. We didn't cover as well as we should that group of low-paid workers who don't get the working tax credits and we weren't able to help the 60 to 64-year-olds who didn't get the pensioner's tax allowance."
Mr Brown also said: "The problem was quite specific... We had dealt with this very, very major tax reform. We hadn't done enough for these two smaller groups."
Ministers saw off a potential Labour backbench revolt by pledging concessions last week for those hit by the 10p tax rate abolition. These are to be outlined over the next few months.
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