In what's been described as a radical change, the theological college will now focus on 'new models of ministerial formation and training for discipleship'.
The changes will begin to be implemented immediately but will fully take effect in September 2016.
Speaking about the changes, Principal David Hilborn said: "Over the past 150 years St John's has re-imagined theological education many times as it has served students from a wide range of educational backgrounds.
"For example the college pioneered Extension Studies, "mixed-mode" training, and more recently a distinctive form of community-based contextual formation.
"Our calling is to equip Christians for mission in a world of change. This next reconfiguring of the college is consistent with our history and with the needs and resources of tomorrow's church."
College bosses say the current financial climate is challenging and changes have been set up to make St John's the most effective training institution it can be, taking in the long-term needs of the church with a realistic assessment of the resources that are likely to be available.
Reports suggest the college had a deficit of more than £245,000 in the last reported year.
The college has also confirmed that some parts of its campus will be sold off while there may also be changes to staffing.
St John's was founded in 1863 as the London College of Divinity and moved to its current site in Nottingham in 1970.
There are currently around 150 students training for ordained and lay ministries on campus.
Watch staff at St John's explaining the changes in more detail: