Nanocomposites based on natural rubber and nano-sized nickel were synthesized by incorporating nickel nanoparticles in a natural rubber matrix for various loadings of the filler. Structural, morphological, magnetic and mechanical properties of the composites were evaluated along with a detailed study of dielectric properties. It was found that nickel particles were uniformly distributed in the matrix without agglomeration resulting ill a magnetic nanocomposite. The elastic properties showed an improvement with increase in filler content but breaking stress and breaking strain were found to decrease. Dielectric permittivity was found to decrease with increase in frequency, and found to increase with increase in nickel loading. The decrease in permittivity with temperature is attributed to the high volume expansivity of rubber at elevated temperatures. Dielectric loss of blank rubber as well as the composites was found to increase with temperature. (C) 2008 Elsevier B.V. All rights reserved.