The MPI‐ESM1.2 is the latest version of the Max Planck Institute Earth System Model and is the baseline for the Coupled Model Intercomparison Project Phase 6 and current seasonal and decadal climate predictions. This paper evaluates a coupled higher‐resolution version (MPI‐ESM1.2‐HR) in comparison with its lower‐resolved version (MPI‐ESM1.2‐LR). We focus on basic oceanic and atmospheric mean states and selected modes of variability, the El Niño/Southern Oscillation and the North Atlantic Oscillation. The increase in atmospheric resolution in MPI‐ESM1.2‐HR reduces the biases of upper‐level zonal wind and atmospheric jet stream position in the northern extratropics. This results in a decrease of the storm track bias over the northern North Atlantic, for both winter and summer season. The blocking frequency over the European region is improved in summer, and North Atlantic Oscillation and related storm track variations improve in winter. Stable Atlantic meridional overturning circulations are found with magnitudes of ~16 Sv for MPI‐ESM1.2‐HR and ~20 Sv for MPI‐ESM1.2‐LR at 26°N. A strong sea surface temperature bias of ~5°C along with a too zonal North Atlantic current is present in both versions. The sea surface temperature bias in the eastern tropical Atlantic is reduced by ~1°C due to higher‐resolved orography in MPI‐ESM‐HR, and the region of the cold‐tongue bias is reduced in the tropical Pacific. MPI‐ESM1.2‐HR has a well‐balanced radiation budget and its climate sensitivity is explicitly tuned to 3 K. Although the obtained reductions in long‐standing biases are modest, the improvements in atmospheric dynamics make this model well suited for prediction and impact studies.

Ocean surface wave height in the Atlantic Ocean is strongly influenced by the North Atlantic Oscillation (NAO). Here we demonstrate for the first time a skilful seasonal forecast for wave height in the Atlantic Ocean, produced by a seasonal prediction system with an enhanced prediction skill of winter NAO. The improved seasonal prediction skill of the wave height reaches 0.8 in major parts of the North Atlantic. Prediction skill in the Central and South Atlantic is significantly improved due to swell propagation from better represented active wave generation regions in the North Atlantic. By subsampling, the modeling of climatological anomalies of seasonal wave height for strongly positive and negative NAO phases is considerably improved. We demonstrate the potential of an improved, subsampling‐based approach for the dynamical seasonal prediction of waves, specifically for extreme seasons during strong NAO phases, which can be implemented for operational purposes.