The hydrogen decrepitation behaviour of the $Sm_{2}Fe_{17} alloy containing 4at%Nb was examined by means of DTA and SEM metallography, and the magnetic properties of the alloy were studied by means of VSM or TMA. It has been found that a simple hydrogenation and degassing treatment for the alloy caused a poor hydrogen decrepitation. The cycle treatment consisting of repeated hydrogenation and degassing, however, caused a severe hydrogen decrepitation with a combination of intergranular and transgranular failure. The disproportionation temperature of the hydrogenated $Sm_{2}Fe_{17}-type alloy was enhanced significantly by small addition of Nb. It has also been found that the Curie temperature of $Sm_{2}Fe_{17} matrix phase in the Nb-containing alloy has been enhanced by the hydrogenation, and this was attributed to the increase in interatomic distance between the neighbouring iron atoms caused by the interstitial occupancy of the hydrogen atom into the $Sm_{2}Fe_{17}-type lattice. The magnetisation of the $Sm_{2}Fe_{17} alloy containing Nbwas found to be lower than that of the Nb-free alloy, and this was explained by the dilution effect due to the presence of the paramagnetic $Sm_{2}Fe_{17} phase.