This article addresses the synthesis of organically tailored Ni-Al layered double hydroxide (ONi-Al LDH) and its use in the fabrication of exfoliated poly(methyl methacrylate) (PMMA) nanocomposites. The pristine Ni-Al LDH was initially synthesized by co-precipitation method and subsequently modified using sodium dodecyl sulfate to obtain ONi-Al LDH. Nanocomposites of PMMA containing various amounts of modified Ni-Al LDH (3 wt%-7 wt%) were synthesized via solvent blending method to investigate the influence of LDH content on the properties of PMMA matrix. Several characterization methods such as X-ray diffraction (XRD), transmission electron microscopy (TEM), Fourier transform infrared spectroscopy (FTIR), rheological analysis, differential scanning calorimetry (DSC) and thermo gravimetric analysis (TGA), were employed to examine the structural, viscoelastic and thermal properties of PMMA/OLDH nanocomposites. The results of XRD and TEM examination confirm the formation of partially exfoliated PMMA/OLDH nanocomposites. The FTIR results elucidate that the characteristic bands for both pure PMMA and modified LDH are present in the spectra of PMMA/OLDH nanocomposites. Rheological analyses were carried out to examine the adhesion between polymer matrix and fillers present in the nanocomposite sample. The TGA data indicate that the PMMA nanocomposites exhibit higher thermal stability when compared to pure PMMA. The thermal decomposition temperature of PMMA/OLDH nanocomposites increases by 28 K compared to that of pure PMMA at 15% weight loss as a point of reference. In comparison with pure PMMA, the PMMA nanocomposite containing 7 wt% LDH demonstrates improved glass transition temperature (Tg) of around 3 K. The activation energy (Ea), reaction orders (n) and reaction mechanism of thermal degradation of PMMA/OLDH nanocomposites were evaluated using different kinetic models. Water uptake capacity of the PMMA/OLDH nanocomposites is less than that of the pure PMMA. © 2016, Chinese Chemical Society, Institute of Chemistry, Chinese Academy of Sciences and Springer-Verlag Berlin Heidelberg.