The Arctic Ocean's Wandel Sea is the easternmost sector of the Last Ice Area, where thick, old sea ice is expected to endure longer than elsewhere. Nevertheless, in August 2020 the area experienced record-low sea ice concentration. Here we use satellite data and sea ice model experiments to determine what caused this record sea ice minimum. In our simulations there was a multi-year sea-ice thinning trend due to climate change. Natural climate variability expressed as wind-forced ice advection and subsequent melt added to this trend. In spring 2020, the Wandel Sea had a mixture of both thin and — unusual for recent years — thick ice, but this thick ice was not sufficiently widespread to prevent the summer sea ice concentration minimum. With continued thinning, more frequent low summer sea ice events are expected. We suggest that the Last Ice Area, an important refuge for ice-dependent species, is less resilient to warming than previously thought.