Letwin: Targeting low income groups

The Conservatives are attempting to throw off their image as a party of the middle classes by announcing a renewed focus on reducing poverty in the UK.

Interviewed in the Independent, Oliver Letwin signals that the £2.7bn of Tory tax cuts yet to be announced will be targeted at the poor.

The shadow chancellor says help already unveiled for pensioners would benefit those who have least.

"That is the same pattern you will find in the remainder of what we announce. It is aimed at people who don't have very much money, are not millionaires, and are working hard and have quite a struggle," he says.

The comments come ahead of Wednesday's Budget - in which chancellor Gordon Brown is expected to announce a cash boost for pensioners and low income families.

The Conservatives would champion the cause of those on low pay rather than boost the incomes of the rich, Letwin told the newspaper.

"We have to recognise the hard work and contribution made by people bringing up families who don't have much money," he said.

"Both from an economic and social point of view, we are trying to recognise, reward and give incentives to those people, not to open up vast new wealth for the millionaires.

"We want to make the tax system fairer and simpler. We are aiming at trying to address fairness and not benefit the very rich."