Bio‐optical properties of surface waters were characterized off western and northern Spitsbergen in the summers of 2013, 2014, and 2015. We observed statistically significant year‐to‐year differences in spatial distribution of spectral absorption (a(λ)) and beam attenuation (c(λ)). Highest a(λ) and c(λ) were located in the frontal zone between water masses and co‐varied strongly with chlorophyll a fluorescence. Phytoplankton pigments dominated the absorption budget at 443 nm (50%). The contribution of chromophoric dissolved organic matter to total nonwater absorption was highest at 412 nm (42%), and detrital absorption contributed most at 550 nm (37%). Almost all inherent optical properties, except chromophoric dissolved organic matter, were highly correlated with the chlorophyll a concentration (Chla, R2 > 0.81). Relationships between Chla and the particulate and phytoplankton pigments absorption coefficients at 443 and 676 nm were characterized by significant determination coefficients (R2 > 0.73). The phytoplankton pigments line height absorption aLH(676) was found to be the most reliable optical proxy for determination of Chla, compared to total nonwater absorption, apg(676), and stimulated in situ chlorophyll a fluorescence intensity, IChla. In the presence of sea ice melt the water column was stratified and the vertical distribution of inherent optical properties was characterized by a surface minimum followed by a distinct subsurface maximum, aligned with a subsurface chlorophyll a maximum. We surmise that prevailing regional wind patterns affect sea ice and surface drift in central Fram Strait, and thus the location of sea ice meltwater, which affects the vertical stratification and occurrence of subsurface chlorophyll a maximum.