diff --git a/com.unity.render-pipelines.universal/CHANGELOG.md b/com.unity.render-pipelines.universal/CHANGELOG.md
index 7498c715e9d..f0a8fe31f81 100644
--- a/com.unity.render-pipelines.universal/CHANGELOG.md
+++ b/com.unity.render-pipelines.universal/CHANGELOG.md
@@ -43,6 +43,7 @@ and this project adheres to [Semantic Versioning](http://semver.org/spec/v2.0.0.
 - Fixed GLES shaders compilation failing on Windows platform (not a mobile platform) due to uniform count limit.
 - Fixed an issue where preset button could still be used, when it is not supposed to. [case 1246261](https://issuetracker.unity3d.com/issues/urp-reset-functionality-does-not-work-for-renderobject-preset-asset)
 - Fixed an issue with URP switching such that every avaiable URP makes a total set of supported features such that all URPs are taken into consideration. [case 1157420](https://issuetracker.unity3d.com/issues/lwrp-srp-switching-doesnt-work-even-with-manually-adding-shadervariants-per-scene)
+- Fixed a performance problem with ShaderPreprocessor with large amount of active shader variants in the project.
 
 ## [7.3.0] - 2020-03-11
 
diff --git a/com.unity.render-pipelines.universal/Editor/ShaderPreprocessor.cs b/com.unity.render-pipelines.universal/Editor/ShaderPreprocessor.cs
index 8b52444f9f4..511c0f4ea8c 100644
--- a/com.unity.render-pipelines.universal/Editor/ShaderPreprocessor.cs
+++ b/com.unity.render-pipelines.universal/Editor/ShaderPreprocessor.cs
@@ -212,14 +212,23 @@ public void OnProcessShader(Shader shader, ShaderSnippetData snippetData, IList<
 
 
             int prevVariantCount = compilerDataList.Count;
-
-            for (int i = 0; i < compilerDataList.Count; ++i)
+            
+            var inputShaderVariantCount = compilerDataList.Count;
+            for (int i = 0; i < inputShaderVariantCount;)
             {
-                if (StripUnused(ShaderBuildPreprocessor.supportedFeatures, shader, snippetData, compilerDataList[i]))
-                {
+                bool removeInput = StripUnused(ShaderBuildPreprocessor.supportedFeatures, shader, snippetData, compilerDataList[i]);
+                if (removeInput)
+                    compilerDataList[i] = compilerDataList[--inputShaderVariantCount];
+                else
+                    ++i;
+            }
+            
+            if(compilerDataList is List<ShaderCompilerData> inputDataList)
+                inputDataList.RemoveRange(inputShaderVariantCount, inputDataList.Count - inputShaderVariantCount);
+            else
+            {
+                for(int i = compilerDataList.Count -1; i >= inputShaderVariantCount; --i)
                     compilerDataList.RemoveAt(i);
-                    --i;
-                }
             }
 
             if (urpAsset.shaderVariantLogLevel != ShaderVariantLogLevel.Disabled)