On 7 July 1944 "Dragon" returned to the area off Caen, where she was to take part in the final artillery preparations for capturing the city after a month-long siege. At 5:40 am the following day, while waiting for the order to open fire at , the "Dragon" was hit by a German "Neger" manned torpedo, thought to be piloted by Walther Gerhold, and 26 men were lost.