He was the son of James Hamilton, 1st Duke of Abercorn, and Lady Louisa Jane Russell.

After graduating from Oxford with a BA in 1860,[5] he entered Parliament as Conservative MP for County Donegal, a constituency he represented from 1860 to 1880.

He took over from his father as Honorary Colonel of the Prince of Wales's Own Donegal Militia on 22 September 1860, and retained the position until 1891 when his brother Lord Claud Hamilton (who had been commandant of the regiment) took over.

Abercorn held several positions after acceding to that title, including Groom of the Stole to the Prince of Wales (1886–1891), and chairman of the British South Africa Company.

He is buried in the cemetery at Baronscourt Parish Church, the traditional burial place of the Dukes of Abercorn and their families.