Small businesses could be the big losers in the current legal aid shake up, a Sussex judge has warned.

District Judge John Robinson, who sits at Haywards Heath and Lewes County Courts, said the recent reforms to the legal aid system meant businesses now have no access to financial support in the civil courts.

He said: "Small businesses are significant employers but anything to do with a business is now excluded from legal aid.

"For example, small business owners who have taken up a franchise cannot now get legal aid to resolve a claim against the larger commercial organisation owning the franchise. Usually these people have had no say in the detailed terms of their contract, which is often quite unfair and goes well beyond any reasonable needs of the franchise owner."

Judge Robinson said franchisees were usually small individuals up against a large organisation, frequently backed by an in-house legal team.

He said: "They may have pledged their house as security and certainly have no in-house lawyer to call on. They now cannot get legal aid or even free legal advice.

Previously, subject to financial qualifications, they would have been able to obtain legal aid, and usually did. They are ruled out whatever the merits of their case.

"For many it can spell financial disaster for themselves and their families as well as loss of work for employees."

Judge Robinson's base court at Haywards Heath was recently threatened with closure.

He said: "Had the court been closed it would have been an additional blow to local businesses. Many small business owners would have found it uneconomic to pursue debts or defend claims against them because of the time they would have to spend away from their business attending court in Brighton, Lewes or Horsham."

Judge Robinson said these changes to the availability of legal aid in the civil courts were plainly controversial but had received little publicity, unlike the "no win, no fee" agreements for accident claims.

He added: "I hope the politicians will review them with the same open mind they applied to the arguments for and against closure of this particular court."

The Sussex Law Society, which represents solicitors in Brighton and Hove as well as across Mid Sussex, fully backs Judge Robinson's concerns.

A spokesman said: "The Sussex Law Society is concerned that not only small businesses but individuals, too, will be adversely affected by the changes in the legal aid system. The effect of the reforms will be to deny justice to a great many people."