Celebrating the 75th anniversary of Epsom and Ewell Council.
School children across Epsom and Ewell have created bunting, which was displayed in the High Street for the parade.
The parade started at Upper High Street at 12:00 BST and was led by the Royal Artillery Band.
Diamond Jubilee medals were presented by the mayor to members of the uniformed forces in Rosebery Park.
Councillor Christine Long, the Mayor of Epsom & Ewell, said: "In 1937 at the first celebration marking the Borough of Epsom & Ewell, school children of the borough played a big part by each contributing a penny to pay for the Mayor's robe.
"In 2012, the borough's school children are once again a part of the special celebration by taking part in this creative project."