The invention discloses a cable insulating layer strip-cutting and slotting tool comprising a knife rest mechanism, a knife tool, and a knife blade. The knife rest mechanism is used to mount the knife tool or the knife blade. The knife tool comprises a first handle and a cutting part, and the knife tool is mounted on the knife rest mechanism to strip and cut a cable. The major cutting edge angle of the cutting part is 20-25 degrees, the minor cutting edge angle is 2-5 degrees, and the rake angle is 20-30 degrees. The knife blade comprises a second handle and a knife head, and the knife blade is mounted on the knife rest mechanism to slot the cable. The advantages are as follows: the cost of the device is close to those of domestic products, but the device has the same using effect as imported products and has a slotting function which cannot be achieved by domestic products; and the device is applicable to cables of a variety of specifications and can be mass-produced, and can meet the need of instant supply.