The beleaguered Prime Minister unveiled details of the government's next Queen's speech this morning, which contained plans to extend the option of flexible working to parents with children up to the age of 16.

In response to the speech, the Federation of Small Businesses (FSB) warned that the Prime Minister's announcement could create an employment nightmare for small business owners.

FSB Employment Chairman Alan Tyrrell said: "The announcement today puts small businesses in an impossible position.

"You can't have an extension of flexible working and at the same time clamp down on the means by which many small businesses cope with it, which is often through temporary workers.

"The current flexible working regime seems to be working, but the government should be cautious about extending it too far, which could be damaging to small businesses and, as a result, the millions of people they employ."

It added that, alongside the proposals to outline "complicated employment regulations" for temporary workers, the situation could be untenable for many small businesses.

In addition to these measures, Brown said employers would have to allow employees "time off to train".

Andrew Brown, director of corporate affairs at the BPIF, warned staff training must be in accordance with the needs of the employer.

"A company must invest in training, but will be required to invest in certain areas at certain times and in certain people at certain times. There is no one size fits all solution," he added.