Although savanna woody encroachment has become a global phenomenon, few studies have simultaneously evaluated its effects on multiple dimensions and levels of savanna biodiversity. We evaluated how the progressive increase in tree cover in a fire-suppressed savanna landscape affects the taxonomic, functional, and phylogenetic diversity of neotropical ant communities. We sampled ants along an extensive tree cover gradient, ranging from open savannas to forests established in former savanna areas due to fire suppression, and found that Leaf Area Index explained much of the observed variation in ant diversity at both the alpha and beta levels. However, ant responses to variation in tree cover were largely non-linear as differences in alpha diversity and in the dissimilarities of the sampled communities were often much more marked at the savanna/forest transition than at any other part of the gradient. The patterns of functional and phylogenetic diversity mirrored those of taxonomic diversity, notably at the beta level. At the alpha level, functional diversity tended to increase, whereas taxonomic and phylogenetic diversity decreased or was unrelated to tree cover. Our results indicate that savanna ant communities switch rapidly to an alternative state once savanna turns into forest. Ant communities in the newly formed forest areas lacked many of the species typical of the open habitats, suggesting that the maintenance of a fire suppression policy, is likely to result in a decrease in ant diversity and in the homogenization of the ant fauna at the landscape level.