This work describes fabrication and properties of anti‐bacterial poly(vinyl alcohol)/silver nanoparticles (PVA/AgNPs) nanocomposite hydrogels prepared via cyclic freeze‐thaw. The AgNPs, at different concentrations, were synthesized in situ in PVA solution, without employing either capping or reducing agent. Stable AgNPs with the average diameter of 16 nm uniformly dispersed in PVA was obtained. The presence of 2 wt% of AgNPs enhanced tensile strength and elongation at break by 40 and 31%, respectively due to extended network formation between AgNPs and PVA. AgNPs also provided the hydrogels with anti‐bacterial capability, while did not change water uptake markedly. Furthermore, the electrical conductivity of 1.5 × 105 S cm−1 was achieved by the addition of as low as 2 wt% of AgNPs. POLYM. COMPOS., 40:1322–1328, 2019. © 2018 Society of Plastics Engineers