A fifth of Ford's workforce in the UK will be laid off over the course of the next two years, according to the company's announcement.
It is a part of a significant restructuring program that will cause the automaker to eliminate 3,800 jobs across Europe.
As it prepares for the shift to electric vehicles and deals with an uncertain economic future, Ford is reducing the number of development employees.
The majority of the UK cuts will be made at the Dunton, Essex, research facility.
Several hundred back-office positions at locations across the nation are also anticipated to be closed. Halewood, Dagenham, and Daventry production sites, however, won't be impacted.
Less than two years have passed since Ford shut down its Bridgend engine plant.
Tim Slatter, chairman of Ford of Britain, stated that the economic situation in Europe is "pretty difficult, and the outlook is uncertain.".
"High interest rates, inflationary pressures, the protracted conflict in Ukraine, energy prices, etc. ".
He argued that it wasn't the only factor, though. Ford of Europe is getting ready for a significant change in its business.
It anticipates that all the vehicles it constructs in the area will be entirely electric by 2030.
By that time, plug-in hybrids or electric vehicles will make up two out of every three commercial vehicles.
It will also be working to shed its reputation as a mass-market provider of reasonably priced, everyday transportation.
As opposed to this, it wants to create a smaller lineup of more exotic cars that make use of evocative brand names, as it has done with the Mustang Mach-E and the electric F-150 Lightning pickup truck.
It also wants to put an emphasis on its lineup of commercial vehicles, particularly the Transit.
The Mondeo's production has already been stopped. The last Fiesta will leave the factory in Cologne in June.
There won't be a direct replacement for the previously most popular runabout because its manufacturing is no longer deemed viable. It's anticipated that the Fiesta name will become obsolete.
Ford plans to invest about $50 billion (£41 billion) over the next few years in the costly process of creating new electric vehicles.
As part of this plan, it has allocated £380 million to upgrade the gearbox factory in Halewood, Merseyside, so that it can produce hundreds of thousands of electric motors annually.
Because electric cars have relatively simple mechanical designs despite requiring sophisticated software, Ford believes that as the development of conventional gasoline and diesel vehicles slows, it will require fewer product development personnel.
This is an area where it believes it can cut costs. Over 2,800 engineering positions will be eliminated in Europe, primarily in the UK and Germany.
Martin Sander, the head of Ford's electric vehicle division for Europe, acknowledged that these were difficult choices that were not made lightly.
"I assure them that we will give them all of our support in the coming months. We are aware of the uncertainty it causes for our team.
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