
New legislation aimed at keeping young people in education up to the age of 18 could hit SMEs, one industry body has warned.
The Forum of Private Business believes that the education and skills bill is "inflexible" and could hinder smaller firms in England when trying to compete with their European counterparts.
It proposals in the bill which would force employers in England to allow their staff to take time off work in order to participate in education and training will be bad news for SMEs.
Len Collinson, the FPB's national chairman, said: "Most employees are committed to training their staff the skills they gain will help their businesses to grow.
"For those that need encouraging, more information about the options available to them, and better communication and support, would be far more effective than legislation such as this."
He added that he was concerned the legislation and associated penalties might deter employers from hiring young people in the first place.
At the start of the month the FPB expressed concerns that SMEs could face being marginalised by the government "at a time when [they] desperately need to be centre stage".