Silver nanoparticles were fabricated via in situ reduction of silver nitrate embedded in swollen P(HEMA/IA) hydrogel, using gamma radiolysis method. Copolymeric hydrogels based on 2-hydroxyethyl methacrylate (HEMA) and itaconic acid (IA), previously synthesised by gamma radiation for wound dressing application, were used as a carrier and a stabilising agent, while ethyl alcohol was used as a free radical scavenger. The influence of different P(HEMA/IA) hydrogels and silver salt concentrations on the size and distribution of nanoparticles was investigated. The Ag/P(HEMA/IA) nanocomposites were characterised by high resolution scanning electron microscopy, energy dispersive spectroscopy, wide-angle X-ray diffraction, UV-Vis spectroscopy and swelling measurements. Escherichia coli (Gram-negative bacterium), Staphylococcus aureus (Gram-positive bacterium) and Candida albicans (fungus) were used to prove the antimicrobial properties of Ag/P(HEMA/IA) nanocomposites. The inhibition kinetics of bacteria growth was investigated by measuring the colony-forming unit. The antimicrobial effectiveness of the Ag/P(HEMA/IA) hydrogel nanocomposite was demonstrated even at small silver concentrations. P(HEMA/IA) hydrogels containing nanosilver particles was found suitable to be used as wound dressing.