The radiogenic neodymium isotope ratio 143Nd/144Nd (expressed as εNd) has been applied to examine seawater elemental budgets, sedimentary provenance, oceanic water mass source and circulation, large-scale geochemical cycling, and continental crust growth rates. These applications are underpinned by the assumption that during sedimentary processing the parent/daughter (samarium/neodymium) ratio is conservative during low temperature fluid related processes. In this study, we report εNd data from two streams draining sedimentary formations in the Arctic archipelago of Svalbard. The εNd value of the dissolved load is offset from stream suspended sediment samples by up to 5.5 epsilon units. We demonstrate that dissolved load εNd is controlled by the dissolution of labile phases present in the catchment rocks which are isotopically distinct from the silicate residue and account for up to 12% Nd in the bulk sediment. This study highlights 1) the potential for incongruent release of Nd isotopes to seawater from rocks and sediments, with implications for the isotopic composition of seawater and 2) the large-scale decoupling between a rapidly exchanging labile reservoir and a silicate-bound reservoir during sediment recycling.