Are there regular playlists (i.e. on site not embedded) ?

yes, there's a tag-based playlist system -- just favorite a song to begin.

Oh okay I think I finally worked it after toying with things off and on over 20 minutes - a "tag radio" list has appeared when I'm in a radio section and if I click one of those tags music will play continuously. I guess by playlists I meant ones I create.

In any case I think this feature needs to be a lot clearer.

I think you're on the home page. For an example, you can see my personal tag playlist named 'mellow':

http://www.thesixtyone.com/tags/song/show/sam/mellow/

Or go to your profile and click on the tags that appear to your right.

Right thanks :-) I see now I can just go to my profile and "listen to radio" to play my favourites.