diff --git a/packages/block-editor/src/components/link-control/index.js b/packages/block-editor/src/components/link-control/index.js
index 73e2f6bb8e0e1d..2d0f0078a9e762 100644
--- a/packages/block-editor/src/components/link-control/index.js
+++ b/packages/block-editor/src/components/link-control/index.js
@@ -7,6 +7,7 @@ import classnames from 'classnames';
  * WordPress dependencies
  */
 import { Button, Spinner, Notice, TextControl } from '@wordpress/components';
+import { keyboardReturn } from '@wordpress/icons';
 import { __ } from '@wordpress/i18n';
 import { useRef, useState, useEffect } from '@wordpress/element';
 import { focus } from '@wordpress/dom';
@@ -112,7 +113,6 @@ function LinkControl( {
 	settings = DEFAULT_LINK_SETTINGS,
 	onChange = noop,
 	onRemove,
-	onCancel,
 	noDirectEntry = false,
 	showSuggestions = true,
 	showInitialSuggestions,
@@ -190,8 +190,6 @@ function LinkControl( {
 		isEndingEditWithFocus.current = false;
 	}, [ isEditingLink, isCreatingPage ] );
 
-	const hasLinkValue = value?.url?.trim()?.length > 0;
-
 	/**
 	 * Cancels editing state and marks that focus may need to be restored after
 	 * the next render, if focus was within the wrapper when editing finished.
@@ -237,29 +235,6 @@ function LinkControl( {
 		}
 	};
 
-	const resetInternalValues = () => {
-		setInternalUrlInputValue( value?.url );
-		setInternalTextInputValue( value?.title );
-	};
-
-	const handleCancel = ( event ) => {
-		event.preventDefault();
-		event.stopPropagation();
-
-		// Ensure that any unsubmitted input changes are reset.
-		resetInternalValues();
-
-		if ( hasLinkValue ) {
-			// If there is a link then exist editing mode and show preview.
-			stopEditing();
-		} else {
-			// If there is no link value, then remove the link entirely.
-			onRemove?.();
-		}
-
-		onCancel?.();
-	};
-
 	const currentUrlInputValue = propInputValue || internalUrlInputValue;
 
 	const currentInputIsEmpty = ! currentUrlInputValue?.trim()?.length;
@@ -272,9 +247,8 @@ function LinkControl( {
 	// Only show text control once a URL value has been committed
 	// and it isn't just empty whitespace.
 	// See https://github.com/WordPress/gutenberg/pull/33849/#issuecomment-932194927.
-	const showTextControl = hasLinkValue && hasTextControl;
+	const showTextControl = value?.url?.trim()?.length > 0 && hasTextControl;
 
-	const isEditing = ( isEditingLink || ! value ) && ! isCreatingPage;
 	return (
 		<div
 			tabIndex={ -1 }
@@ -287,7 +261,7 @@ function LinkControl( {
 				</div>
 			) }
 
-			{ isEditing && (
+			{ ( isEditingLink || ! value ) && ! isCreatingPage && (
 				<>
 					<div
 						className={ classnames( {
@@ -325,7 +299,17 @@ function LinkControl( {
 								createSuggestionButtonText
 							}
 							useLabel={ showTextControl }
-						/>
+						>
+							<div className="block-editor-link-control__search-actions">
+								<Button
+									onClick={ handleSubmit }
+									label={ __( 'Submit' ) }
+									icon={ keyboardReturn }
+									className="block-editor-link-control__search-submit"
+									disabled={ currentInputIsEmpty } // Disallow submitting empty values.
+								/>
+							</div>
+						</LinkControlSearchInput>
 					</div>
 					{ errorMessage && (
 						<Notice
@@ -350,34 +334,15 @@ function LinkControl( {
 				/>
 			) }
 
-			<div className="block-editor-link-control__drawer">
-				{ showSettingsDrawer && (
-					<div className="block-editor-link-control__tools">
-						<LinkControlSettingsDrawer
-							value={ value }
-							settings={ settings }
-							onChange={ onChange }
-						/>
-					</div>
-				) }
-
-				{ isEditing && (
-					<div className="block-editor-link-control__search-actions">
-						<Button
-							variant="primary"
-							onClick={ handleSubmit }
-							className="xblock-editor-link-control__search-submit"
-							disabled={ currentInputIsEmpty } // Disallow submitting empty values.
-						>
-							{ __( 'Apply' ) }
-						</Button>
-						<Button variant="tertiary" onClick={ handleCancel }>
-							{ __( 'Cancel' ) }
-						</Button>
-					</div>
-				) }
-			</div>
-
+			{ showSettingsDrawer && (
+				<div className="block-editor-link-control__tools">
+					<LinkControlSettingsDrawer
+						value={ value }
+						settings={ settings }
+						onChange={ onChange }
+					/>
+				</div>
+			) }
 			{ renderControlBottom && renderControlBottom() }
 		</div>
 	);
diff --git a/packages/block-editor/src/components/link-control/style.scss b/packages/block-editor/src/components/link-control/style.scss
index cadb0ce6340e28..a34d050353f949 100644
--- a/packages/block-editor/src/components/link-control/style.scss
+++ b/packages/block-editor/src/components/link-control/style.scss
@@ -64,6 +64,7 @@ $preview-image-height: 140px;
 		width: calc(100% - #{$grid-unit-20 * 2});
 		display: block;
 		padding: 11px $grid-unit-20;
+		padding-right: ( $button-size * $block-editor-link-control-number-of-actions ); // width of reset and submit buttons
 		margin: 0;
 		position: relative;
 		border: 1px solid $gray-300;
@@ -76,10 +77,20 @@ $preview-image-height: 140px;
 }
 
 .block-editor-link-control__search-actions {
-	display: flex;
-	flex-direction: row-reverse; // put "Cancel" on the left but retain DOM order.
-	justify-content: flex-start;
-	gap: $grid-unit-10;
+	position: absolute;
+	/*
+	 * Actions must be positioned on top of URLInput, since the input will grow
+	 * when suggestions are rendered.
+	 *
+	 * Compensate for:
+	 *  - Border (1px)
+	 *  - Vertically, for the difference in height between the input (40px) and
+	 *    the icon buttons.
+	 *  - Horizontally, pad to the minimum of: default input padding, or the
+	 *    equivalent of the vertical padding.
+	 */
+	top: 1px + ( ( 40px - $button-size ) * 0.5 );
+	right: $grid-unit-20 + 1px + min($grid-unit-10, ( 40px - $button-size ) * 0.5);
 }
 
 .components-button .block-editor-link-control__search-submit .has-icon {
@@ -426,10 +437,9 @@ $preview-image-height: 140px;
 	padding: 10px;
 }
 
-.block-editor-link-control__drawer {
+.block-editor-link-control__tools {
 	display: flex;
 	align-items: center;
-	justify-content: space-between;
 	border-top: $border-width solid $gray-300;
 	margin: 0;
 	padding: $grid-unit-20;
@@ -469,8 +479,14 @@ $preview-image-height: 140px;
 		position: absolute;
 		left: auto;
 		bottom: auto;
+		/*
+		 * Position spinner to the left of the actions.
+		 *
+		 * Compensate for:
+		 *  - Input padding right ($button-size)
+		 */
 		top: calc(50% - #{$spinner-size} / 2);
-		right: $grid-unit-20;
+		right: $button-size;
 	}
 }
 
diff --git a/packages/block-editor/src/components/link-control/test/index.js b/packages/block-editor/src/components/link-control/test/index.js
index bf48d93305fca6..86eae7289f4f61 100644
--- a/packages/block-editor/src/components/link-control/test/index.js
+++ b/packages/block-editor/src/components/link-control/test/index.js
@@ -537,7 +537,7 @@ describe( 'Manual link entry', () => {
 				} );
 
 				let submitButton = screen.getByRole( 'button', {
-					name: 'Apply',
+					name: 'Submit',
 				} );
 
 				expect( submitButton ).toBeDisabled();
@@ -555,7 +555,7 @@ describe( 'Manual link entry', () => {
 				await user.keyboard( '[Enter]' );
 
 				submitButton = screen.getByRole( 'button', {
-					name: 'Apply',
+					name: 'Submit',
 				} );
 
 				// Verify the UI hasn't allowed submission.
@@ -578,7 +578,7 @@ describe( 'Manual link entry', () => {
 				} );
 
 				let submitButton = screen.queryByRole( 'button', {
-					name: 'Apply',
+					name: 'Submit',
 				} );
 
 				expect( submitButton ).toBeDisabled();
@@ -597,7 +597,7 @@ describe( 'Manual link entry', () => {
 				await user.click( submitButton );
 
 				submitButton = screen.queryByRole( 'button', {
-					name: 'Apply',
+					name: 'Submit',
 				} );
 
 				// Verify the UI hasn't allowed submission.
@@ -608,135 +608,6 @@ describe( 'Manual link entry', () => {
 		);
 	} );
 
-	describe( 'Handling cancellation', () => {
-		it( 'should allow cancellation of the link creation process and reset any entered values', async () => {
-			const user = userEvent.setup();
-			const mockOnRemove = jest.fn();
-			const mockOnCancel = jest.fn();
-
-			render( <LinkControl onRemove={ mockOnRemove } /> );
-
-			// Search Input UI.
-			const searchInput = screen.getByRole( 'combobox', {
-				name: 'URL',
-			} );
-
-			const cancelButton = screen.queryByRole( 'button', {
-				name: 'Cancel',
-			} );
-
-			expect( cancelButton ).toBeEnabled();
-			expect( cancelButton ).toBeVisible();
-
-			// Simulate adding a link for a term.
-			await user.type( searchInput, 'https://www.wordpress.org' );
-
-			// Attempt to submit the empty search value in the input.
-			await user.click( cancelButton );
-
-			// Verify the consumer can handle the cancellation.
-			expect( mockOnRemove ).toHaveBeenCalled();
-
-			// Ensure optional callback is not called.
-			expect( mockOnCancel ).not.toHaveBeenCalled();
-
-			expect( searchInput ).toHaveValue( '' );
-		} );
-
-		it( 'should allow cancellation of the link editing process and reset any entered values', async () => {
-			const user = userEvent.setup();
-			const initialLink = fauxEntitySuggestions[ 0 ];
-
-			const LinkControlConsumer = () => {
-				const [ link, setLink ] = useState( initialLink );
-
-				return (
-					<LinkControl
-						value={ link }
-						onChange={ ( suggestion ) => {
-							setLink( suggestion );
-						} }
-						hasTextControl
-					/>
-				);
-			};
-
-			render( <LinkControlConsumer /> );
-
-			let linkPreview = screen.getByLabelText( 'Currently selected' );
-
-			expect( linkPreview ).toBeInTheDocument();
-
-			// Click the "Edit" button to trigger into the editing mode.
-			let editButton = screen.queryByRole( 'button', {
-				name: 'Edit',
-			} );
-
-			await user.click( editButton );
-
-			let searchInput = screen.getByRole( 'combobox', {
-				name: 'URL',
-			} );
-
-			let textInput = screen.getByRole( 'textbox', {
-				name: 'Text',
-			} );
-
-			// Make a change to the search input.
-			await user.type( searchInput, 'This URL value was changed!' );
-
-			// Make a change to the text input.
-			await user.type( textInput, 'This text value was changed!' );
-
-			const cancelButton = screen.queryByRole( 'button', {
-				name: 'Cancel',
-			} );
-
-			// Cancel the editing process.
-			await user.click( cancelButton );
-
-			linkPreview = screen.getByLabelText( 'Currently selected' );
-
-			expect( linkPreview ).toBeInTheDocument();
-
-			// Re-query the edit button as it's been replaced.
-			editButton = screen.queryByRole( 'button', {
-				name: 'Edit',
-			} );
-
-			await user.click( editButton );
-
-			// Re-query the inputs as they have been replaced.
-			searchInput = screen.getByRole( 'combobox', {
-				name: 'URL',
-			} );
-
-			textInput = screen.getByRole( 'textbox', {
-				name: 'Text',
-			} );
-
-			// Expect to see the original link values and **not** the changed values.
-			expect( searchInput ).toHaveValue( initialLink.url );
-			expect( textInput ).toHaveValue( initialLink.text );
-		} );
-
-		it( 'should call onCancel callback when cancelling if provided', async () => {
-			const user = userEvent.setup();
-			const mockOnCancel = jest.fn();
-
-			render( <LinkControl onCancel={ mockOnCancel } /> );
-
-			const cancelButton = screen.queryByRole( 'button', {
-				name: 'Cancel',
-			} );
-
-			await user.click( cancelButton );
-
-			// Verify the consumer can handle the cancellation.
-			expect( mockOnCancel ).toHaveBeenCalled();
-		} );
-	} );
-
 	describe( 'Alternative link protocols and formats', () => {
 		it.each( [
 			[ 'mailto:example123456@wordpress.org', 'mailto' ],
@@ -1988,7 +1859,7 @@ describe( 'Controlling link title text', () => {
 		expect( textInput ).toHaveValue( textValue );
 
 		const submitButton = screen.queryByRole( 'button', {
-			name: 'Apply',
+			name: 'Submit',
 		} );
 
 		await user.click( submitButton );
diff --git a/packages/block-editor/src/components/media-replace-flow/test/index.js b/packages/block-editor/src/components/media-replace-flow/test/index.js
index 9d1aef6df76203..2d3a9f64fc1983 100644
--- a/packages/block-editor/src/components/media-replace-flow/test/index.js
+++ b/packages/block-editor/src/components/media-replace-flow/test/index.js
@@ -137,7 +137,7 @@ describe( 'General media replace flow', () => {
 
 		await user.click(
 			screen.getByRole( 'button', {
-				name: 'Apply',
+				name: 'Submit',
 			} )
 		);
 
diff --git a/packages/block-library/src/navigation-link/edit.js b/packages/block-library/src/navigation-link/edit.js
index fda1268715c328..3ac89bb881965e 100644
--- a/packages/block-library/src/navigation-link/edit.js
+++ b/packages/block-library/src/navigation-link/edit.js
@@ -315,17 +315,12 @@ export default function NavigationLinkEdit( {
 	 */
 	function removeLink() {
 		// Reset all attributes that comprise the link.
-		// It is critical that all attributes are reset
-		// to their default values otherwise this may
-		// in advertently trigger side effects because
-		// the values will have "changed".
 		setAttributes( {
-			url: undefined,
-			label: undefined,
-			id: undefined,
-			kind: undefined,
-			type: undefined,
-			opensInNewTab: false,
+			url: '',
+			label: '',
+			id: '',
+			kind: '',
+			type: '',
 		} );
 
 		// Close the link editing UI.
diff --git a/packages/e2e-tests/specs/editor/various/__snapshots__/links.test.js.snap b/packages/e2e-tests/specs/editor/various/__snapshots__/links.test.js.snap
index 6ba1f2c0148853..330dfbbe142b08 100644
--- a/packages/e2e-tests/specs/editor/various/__snapshots__/links.test.js.snap
+++ b/packages/e2e-tests/specs/editor/various/__snapshots__/links.test.js.snap
@@ -68,6 +68,6 @@ exports[`Links should contain a label when it should open in a new tab 1`] = `
 
 exports[`Links should contain a label when it should open in a new tab 2`] = `
 "<!-- wp:paragraph -->
-<p>This is <a href=\\"http://wordpress.org\\" target=\\"_blank\\" rel=\\"noreferrer noopener\\">WordPress</a></p>
+<p>This is <a href=\\"http://wordpress.org\\">WordPress</a></p>
 <!-- /wp:paragraph -->"
 `;
diff --git a/packages/e2e-tests/specs/editor/various/links.test.js b/packages/e2e-tests/specs/editor/various/links.test.js
index 9ffbd6aa041ca7..b9f5a2a990cb95 100644
--- a/packages/e2e-tests/specs/editor/various/links.test.js
+++ b/packages/e2e-tests/specs/editor/various/links.test.js
@@ -121,6 +121,7 @@ describe( 'Links', () => {
 
 		// Navigate to and toggle the "Open in new tab" checkbox.
 		await page.keyboard.press( 'Tab' );
+		await page.keyboard.press( 'Tab' );
 		await page.keyboard.press( 'Space' );
 
 		// Toggle should still have focus and be checked.
@@ -133,7 +134,7 @@ describe( 'Links', () => {
 		expect( await getEditedPostContent() ).toMatchSnapshot();
 
 		// Tab back to the Submit and apply the link.
-		await page.keyboard.press( 'Tab' );
+		await pressKeyWithModifier( 'shift', 'Tab' );
 		await page.keyboard.press( 'Enter' );
 
 		// The link should have been inserted.
@@ -526,6 +527,7 @@ describe( 'Links', () => {
 
 		// Navigate to and toggle the "Open in new tab" checkbox.
 		await page.keyboard.press( 'Tab' );
+		await page.keyboard.press( 'Tab' );
 		await page.keyboard.press( 'Space' );
 
 		// Confirm that focus was not prematurely returned to the paragraph on
@@ -534,8 +536,7 @@ describe( 'Links', () => {
 
 		// Close dialog. Expect that "Open in new tab" would have been applied
 		// immediately.
-
-		await pressKeyWithModifier( 'shift', 'Tab' );
+		await page.keyboard.press( 'Tab' );
 		await page.keyboard.press( 'Enter' );
 
 		// Wait for Gutenberg to finish the job.
@@ -765,7 +766,6 @@ describe( 'Links', () => {
 			await page.keyboard.press( 'Tab' );
 			await page.keyboard.press( 'Tab' );
 			await page.keyboard.press( 'Tab' );
-			await page.keyboard.press( 'Tab' );
 
 			// Make a selection within the RichText.
 			await pressKeyWithModifier( 'shift', 'ArrowRight' );
diff --git a/test/e2e/specs/editor/blocks/image.spec.js b/test/e2e/specs/editor/blocks/image.spec.js
index fc435544b21bb0..725062cc8e31da 100644
--- a/test/e2e/specs/editor/blocks/image.spec.js
+++ b/test/e2e/specs/editor/blocks/image.spec.js
@@ -498,7 +498,7 @@ test.describe( 'Image', () => {
 			await page.click( 'role=button[name="Edit"i]' );
 			// Replace the url.
 			await page.fill( 'role=combobox[name="URL"i]', imageUrl );
-			await page.click( 'role=button[name="Apply"i]' );
+			await page.click( 'role=button[name="Submit"i]' );
 
 			const regex = new RegExp(
 				`<!-- wp:image {"sizeSlug":"large","linkDestination":"none"} -->