Paternity & maternity leave doesn't just affect small businesses, it affects the decisions made by big multinationals. Would you make your next generation of television sets, cars, vans, etc. in Britain if you have to pay people to do nothing for a year, or will you move production to a country that doesn't impose such burdens?
Having children is a lifestyle choice nowadays. The British public are well educated enough to know where babies come from. People ought to think twice about having what they can't afford.