Salinity and drought are two commonly occurring major threats to agricultural yields worldwide, including sugar beet production. Therefore, this work aimed to determine the effectiveness of biochar amendment in improving soil health and alleviating the combined effects induced by salinity and drought on morphological, physiological and biochemical responses of sugar beet plants. Two field studies were established at the experimental farm of Fayoum University, Egypt over two successive winter seasons (2019/2020 and 2020/2021). The experiments were carried out in a split-split plot design with triplicate including three factors: 1) soil salinity, with two levels of ECe (< 4 dS m−1 as control and 10 dS m−1) as main-plot factor; 2) deficit irrigation regimes (I100, I80, and I60) representing 100%, 80%, and 60% of crop evapotranspiration (ETc), respectively as sub-plot factor; and 3) biochar amendment with three application levels (B0 as control, B10, and B20) corresponding to 0, 10, and 20 t ha−1, respectively as sub-sub plot factor. Drought and salinity stress induced significant reduction in growth attributes, relative water content, membrane stability, relative chlorophyll content (SPAD), yield and yield components of sugar beet plants. Meanwhile, the contents of sucrose, proline, Na, K, α amino-N were substantially increased with increasing stress severity. The application of biochar amendment improved the soil physical and chemical properties, resulting in better morphological, physiological and biochemical responses of saline-drought stressed sugar beet plants. Biochar at level (B20) produced the highest values of root yield (95.02 t ha−1) and sugar yield (20.24 t ha−1) for full irrigated sugar beet plants in non-saline soil. Moreover, the application of biochar enhanced water productivity for drought and saline stressed sugar beet plants. Biochar amendment could be effectively used as a helpful agro-management strategy in alleviating the detrimental impacts of salinity and water stress on sugar beet plants, improving soil quality and enhancing water productivity to ensure water sustainability and food security, especially in areas of limited water supply.