diff --git a/packages/coding-agent/src/core/subagent-runner.ts b/packages/coding-agent/src/core/subagent-runner.ts
index 9ac267a26..d462379f7 100644
--- a/packages/coding-agent/src/core/subagent-runner.ts
+++ b/packages/coding-agent/src/core/subagent-runner.ts
@@ -79,18 +79,29 @@ function createSubagentUIContext(): ExtensionUIContext {
 	};
 }
 
+export interface RunSubagentOptions {
+	signal?: AbortSignal;
+	timeoutMs?: number;
+	/**
+	 * Called for each agent session event (forwarded from session.subscribe).
+	 * Use this to drive live UI updates without polling.
+	 * Errors thrown from this callback are caught and logged but do not abort the subagent.
+	 */
+	onEvent?: (event: AgentSessionEvent) => void;
+}
+
 /**
  * Run a subagent in-process with an isolated AgentSession.
  *
  * @param config  - Subagent configuration (system prompt, model, tools, cwd).
  * @param task    - Task string to send as the first prompt.
- * @param options - Optional AbortSignal and timeout.
+ * @param options - Optional AbortSignal, timeout, and event callback.
  * @returns       SubagentResult with ok, output, stderr, exitCode.
  */
 export async function runSubagent(
 	config: SubagentConfig,
 	task: string,
-	options?: { signal?: AbortSignal; timeoutMs?: number },
+	options?: RunSubagentOptions,
 ): Promise<SubagentResult> {
 	const name = config.name ?? "subagent";
 	const cwd = config.cwd ?? process.cwd();
@@ -182,6 +193,17 @@ export async function runSubagent(
 				partialOutput += streamEvent.delta;
 			}
 		}
+		// Forward every event to the caller's callback (if provided).
+		// Errors from the callback are caught so a buggy caller cannot crash the agent.
+		if (options?.onEvent) {
+			try {
+				options.onEvent(event);
+			} catch (cbErr) {
+				process.stderr.write(
+					`[subagent:${name}] onEvent callback error: ${cbErr instanceof Error ? cbErr.message : String(cbErr)}\n`,
+				);
+			}
+		}
 	});
 
 	// Helper to extract final output from session state messages.
diff --git a/packages/coding-agent/src/index.ts b/packages/coding-agent/src/index.ts
index 9fe47c64a..b720f2f44 100644
--- a/packages/coding-agent/src/index.ts
+++ b/packages/coding-agent/src/index.ts
@@ -14,6 +14,7 @@ export {
 	parseSkillBlock,
 	type SessionStats,
 } from "./core/agent-session.js";
+
 export { ArtifactManager } from "./core/artifact-manager.js";
 // Auth and model registry
 export {
@@ -304,6 +305,7 @@ export {
 } from "./core/skills.js";
 // Subagent runner
 export {
+	type RunSubagentOptions,
 	runSubagent,
 	type SubagentConfig,
 	type SubagentResult,
diff --git a/src/resources/extensions/sf/subagent/index.js b/src/resources/extensions/sf/subagent/index.js
index 8726d7d06..afff31082 100644
--- a/src/resources/extensions/sf/subagent/index.js
+++ b/src/resources/extensions/sf/subagent/index.js
@@ -62,6 +62,7 @@ const COLLAPSED_ITEM_COUNT = 10;
  */
 const CODEBASE_SEARCH_TIMEOUT_MS = 120_000;
 const liveSubagentProcesses = new Set();
+const liveSubagentControllers = new Set();
 const AGENT_ALIASES = {
 	default: "worker",
 	code: "reviewer",
@@ -91,6 +92,16 @@ function resolveAgentByName(agents, agentName) {
 	};
 }
 async function stopLiveSubagents() {
+	// Abort in-process subagents (RunSubagentOptions-based controllers)
+	for (const controller of liveSubagentControllers) {
+		try {
+			controller.abort();
+		} catch {
+			/* ignore */
+		}
+	}
+	liveSubagentControllers.clear();
+	// Kill spawned processes (sift codebase_search, cmux split path, etc.)
 	const active = Array.from(liveSubagentProcesses);
 	if (active.length === 0) return;
 	for (const proc of active) {
@@ -1206,6 +1217,18 @@ async function runSingleAgent(
 			});
 		}
 	};
+	const controller = new AbortController();
+	// If the caller supplied a signal, chain it into our local controller
+	if (signal) {
+		if (signal.aborted) {
+			controller.abort();
+		} else {
+			signal.addEventListener("abort", () => controller.abort(), {
+				once: true,
+			});
+		}
+	}
+	liveSubagentControllers.add(controller);
 	try {
 		const systemPrompt = agent.systemPrompt.trim()
 			? composeAgentPrompt(agent, {
@@ -1223,18 +1246,35 @@ async function runSingleAgent(
 				name: agent.name,
 			},
 			task,
-			{ signal },
+			{
+				signal: controller.signal,
+				onEvent: (event) => {
+					processSubagentEventLine(
+						JSON.stringify(event),
+						currentResult,
+						emitUpdate,
+					);
+				},
+			},
 		);
 		currentResult.exitCode = result.exitCode;
-		currentResult.stderr = result.stderr ?? "";
-		currentResult.messages.push({
-			role: "assistant",
-			content: [{ type: "text", text: result.output }],
-			model: modelOverride ?? agent.model,
-			stopReason: result.ok ? "stop" : "error",
-			errorMessage: result.ok ? undefined : result.stderr,
-		});
-		currentResult.usage.turns = result.output ? 1 : 0;
+		if (result.stderr) {
+			currentResult.stderr += currentResult.stderr
+				? `\n${result.stderr}`
+				: result.stderr;
+		}
+		// If processSubagentEventLine didn't capture messages from events,
+		// fall back to synthesising one from the final output text.
+		if (currentResult.messages.length === 0 && result.output) {
+			currentResult.messages.push({
+				role: "assistant",
+				content: [{ type: "text", text: result.output }],
+				model: modelOverride ?? agent.model,
+				stopReason: result.ok ? "stop" : "error",
+				errorMessage: result.ok ? undefined : result.stderr,
+			});
+			currentResult.usage.turns = 1;
+		}
 		if (!result.ok) currentResult.errorMessage = result.stderr;
 		emitUpdate();
 		return currentResult;
@@ -1243,11 +1283,13 @@ async function runSingleAgent(
 			error instanceof Error
 				? error.message
 				: `Subagent failed: ${String(error)}`;
-		currentResult.exitCode = signal?.aborted ? 1 : 1;
+		currentResult.exitCode = 1;
 		currentResult.stderr += currentResult.stderr ? `\n${message}` : message;
 		currentResult.errorMessage = message;
 		emitUpdate();
 		return currentResult;
+	} finally {
+		liveSubagentControllers.delete(controller);
 	}
 }
 async function runSingleAgentInCmuxSplit(