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Upper Palaeozoic lacustrine basin deposits not only record local tectonism but are also an archive to evaluate global palaeoclimate changes linked to the Late Palaeozoic Gondwanan ice age. The Tournaisian Horton Group of Nova Scotia, south‐east Canada, accumulated in rift basins following the final accretion of peri‐Gondwanan terranes to the Appalachians. Sedimentology, mineralogy and geochemistry of the well‐exposed sandstones and shales at the classic Blue Beach section (ca 353.5 to 352 Ma) reveal the interplay of local tectonism and global climatic controls on lacustrine sedimentation. The lacustrine depositional environment gradually transitioned from deep water offshore at the base of the section to wave‐dominated and fluvial‐dominated nearshore at the top. Multiple small transgressive–regressive sedimentation cycles have an average 21 ka duration, likely related to Milankovitch cyclicity. Unusually abundant soft‐sediment deformation structures and landslides are the sedimentary responses to frequent earthquakes during the most active phase of rift subsidence. The overall succession shows changes from a shallowing‐up balanced‐filled to an overfilled lacustrine basin. The chemical weathering intensity index and the Th/K ratio show a longer‐term trend from dry and cool conditions low in the section to humid and warm conditions near the top, with rapid change in the transition period. The section records the peak of the global mid‐Tournaisian carbon isotope excursion and the corresponding cooling event (354 Ma to approximately 351 Ma). The sedimentary succession is a response to long‐term and short‐term climatic cycles influencing lake level and sediment supply during the time of maximum rift basin subsidence recorded by the soft‐sediment deformation structures. [ABSTRACT FROM AUTHOR]