By Alistair Bunkall, Defence Correspondent
More than 5,000 soldiers will be made redundant in the latest round of job cuts, the Government has announced.
The Army will bear the heaviest burden in this third wave of redundancies because the Navy and RAF have already completed most of their necessary cuts.
It was confirmed in a written ministerial statement that up to 5,300 soldiers will lose their jobs.
"Throughout the redundancy process, we will ensure that we retain the capabilities that our Armed Forces require in order to meet the challenges of the future," Defence Minister Mark Francois said.
Anyone serving in Afghanistan when the redundancy notices are issued on June 18 this year will be exempt from the cuts.
It will also not affect soldiers recovering from a recent tour of duty or those preparing to deploy within the next six months.
No-one will actually be made redundant immediately and the announcement marks the start of the process for the latest round of cuts. Final decisions will be made by June.
In the last round of cuts, 72% of redundancies ended up being voluntary. Military leaders and politicians are hoping for a similar outcome this time round.
Around 9,000 British personnel are deployed to Afghanistan Anyone accepted for voluntary redundancy will be expected to work a six-month notice period and those selected for compulsory redundancy will have a full year to find alternative employment before leaving the service.
They will be given resettlement support.
By the end of the process, the Army will have shrunk to 82,000 soldiers, a reduction of around 20,000, mostly through a redundancy process but also achieved through slower recruitment.
A fourth round of cuts is expected but has not been confirmed. It is likely this would happen at around the same time next year.
The written statement said; "There is likely to be a need for a further tranche for Army personnel and medical and dental personnel from the RN and RAF in due course."
The job losses are part of a strategic review driven by budget cuts which aims produce a new look military by 2020.
The biggest commitment by some way is in Afghanistan - 9,000 personnel are deployed in the country - but the withdrawal process is due to start this year and by the end of 2014 most soldiers will have returned home.
Final numbers have not been announced.
In October last year the Defence Secretary announced plans to rename the Territorial Army the 'Reservists' and double its members to 30,000.
There is also a hope that some of those leaving the military because of the redundancy scheme might sign up to the TA so their experience is not lost.
By the end of the redundancy process, the number of serving personnel in all three services will be reduced to 150,000 from 180,000.
It will result in the smallest army since the 18th century and plenty of concerns over effectiveness.
It is not just serving military personnel taking the hit - the Ministry of Defence is in the process of cutting around 25% of its staff.
The aim is to save £3.8m a year and to make the department less top-heavy with management.
The UK still faces real or potential threats around the globe, demonstrated in the past few weeks by the hostage situation in Algeria and conflict in Mali.
Some, particularly retired service chiefs, question the UK's ability to face these threats with a reduced military and gaps in the equipment locker.
The Government will again need to convince detractors, home and abroad, that the UK military can still earn international respect despite its reduced size.
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