Vodafone has reportedly plans to axe up to 500 jobs in the UK, as the mobile operator is going ahead with its cost-cutting drive to save £1 billion.

According to the report published in the Times, planned cuts will affect employees at mobile operator’s headquarters in Newbury.

Last year too, the company had slashed 500 UK jobs, but it also generated new jobs in its internet and retail operations.

Previous week, the company made redundant the roles of consumer sales director and head of retail.

Last month, Vodafone reported better-than-expected third-quarter revenue and raised its outlook for 2010.

When contacted, Vodafone UK declined to comment.