It was named after Edward Smith-Stanley, 13th Earl of Derby.

Lord Derby's scaly-tailed squirrel lives in tropical and subtropical rainforests in western and central Africa.

It is found in Angola, Cameroon, Central African Republic, Republic of the Congo, Democratic Republic of the Congo, Ivory Coast, Equatorial Guinea, Gabon, Ghana, Kenya, Liberia, Malawi, Mozambique, Nigeria, Sierra Leone, Tanzania, Uganda, and Zambia.

Lord Derby's scaly-tailed squirrel is nocturnal, and will sleep in nests in holes in trees.

Lord Derby's scaly-tailed flying squirrels are mainly herbivorous, eating plant matter such as leaves, bark, green nuts, fruit and flowers.