Small business owners have been warned that they need to be ready for major changes to UK discrimination law planned in 2010.

According to law firm Mace & Jones, planned changes to compulsory retirement ages and the impending Equality Bill represent "the biggest change in discrimination law in a generation."

The proposed changes cover race, gender, religion and belief, sexual orientation, marital status, pregnancy, age and disability, the law firm said.

Employers must not underestimate the depth and scope of this new legislation which makes several fundamental changes to the law," said Phil Allen, employment law partner at Mace & Jones.

The Equality Bill replaces more than nine existing laws with over 100 measures, and will require all businesses to take positive steps to avoid discrimination in the workplace.