Abstract Urban heat island (UHI) in conjunction with heatwave (HW) leads to exacerbation of thermal stress in urban areas. Prior research on UHI and HW has predominantly concentrated on examining the thermal conditions at the surface and near-surface, with few investigations extending to the radiative and dynamical interactions of UHI and HW, particularly with a focus on the inhomogeneities across local climate zones (LCZs). Here, we analyse the temperature disparity between HW and non-HW conditions across LCZs in the Sydney area by quantifying the contributions of individual radiative and dynamical processes using the coupled surface-atmosphere climate feedback-response analysis method (CFRAM). Three moist HW events in 2017, 2019, and 2020 are simulated using the Weather Research and Forecasting (WRF) model coupled with the single-layer urban canopy model (SLUCM). It is found that the maximum surface and 900 hPa temperature difference between HW and non-HW days may reach up to 10 K, with the increased net solar radiation during HWs being comparable to the typical level of anthropogenic heat flux in urban areas. It is also found that the reduction of clouds, the presence of vapour, and the increase of sensible heat contribute to the warming effect to various degrees, with the contribution of clouds being the most dominant. Conversely, the generation of dry convection and the increase of latent heat flux lead to cooling effects, with the latter being more dominant and capable of causing up to 10 K surface temperature difference between LCZ1 (compact high-rise) and LCZ9 (sparsely built). The differences in the contributions of climate feedback processes across different LCZs become more evident during more severe and humid HWs. These findings underscore the necessity of implementing LCZ-tailored heat mitigation strategies.