We investigate the transverse free vibration behaviour of axially moving nanobeams based on the nonlocal strain gradient theory. Considering the geometrical nonlinearity, which takes the form of von Kármán strains, the coupled plane motion equations and related boundary conditions of a new size-dependent beam model of Euler-Bernoulli type are developed using the generalized Hamilton principle. Using the simply supported axially moving nanobeams as an example, the complex modal analysis method is adopted to solve the governing equation; then, the effect of the order of modal truncation on the natural frequencies is discussed. Subsequently, the roles of the nonlocal parameter, material characteristic parameter, axial speed, stiffness and axial support rigidity parameter on the free vibration are comprehensively addressed. The material characteristic parameter induces the stiffness hardening of nanobeams, while the nonlocal parameter induces stiffness softening. In addition, the roles of small-scale parameters on the flutter critical velocity and stability are explained.