We use a recently developed spectrally resolved bio-optical module to better represent the interaction between the incoming irradiance and the heat fluxes in the upper ocean within the (pre-)operational physical-biogeochemical model on the North-West European (NWE) Shelf. The module attenuates light based on the simulated biogeochemical tracer concentrations, and thus introduces a two-way coupling between the biogeochemistry and physics. We demonstrate that in the late spring-summer the two-way coupled model heats up the upper oceanic layer, shallows the mixed layer depth and influences the mixing in the upper ocean. The increased heating in the upper oceanic layer reduces the convective mixing and improves by ~5 days the timing of the late phytoplankton bloom of the ecosystem model. This improvement is relatively small compared with the existing model bias in bloom timing, but sufficient to have a visible impact on model skill. We show that the changes to the model temperature and salinity introduced by the module have mixed impact on the physical model skill, but the skill can be improved by assimilating the observations of temperature, salinity and chlorophyll concentrations into the model. However, in the situations where we improved the simulation of temperature, either via the bio-optical module, or via assimilation of temperature and salinity, we have shown that we also improved the simulated oxygen concentration as a result of the changes in the simulated air-sea gas flux. Overall, comparing different 1-year experiments showed that the best model skill is achieved with joint physical-biogeochemical assimilation into the two-way coupled model.