Zandra Rhodes heads the list of local people included in the Queen's Birthday Honours List published on Friday night.
The Bermondsey Street-based designer becomes Dame Zandra Rhodes. She received the CBE in 1997.
The full citation published by the Government says: "Zandra Rhodes is one of Britain's most original fashion designers, with a career stretching over five decades and expanding into interior design and opera sets and costumes.
"She invested considerable personal effort in the establishment of London's Fashion & Textile Museum.
"She serves as Chancellor of the University of the Creative Arts and as a judge at Graduate Fashion Week.
"A long-term supporter of the Breast Cancer Campaign, she was named London Breast Cancer Ambassador in 2013."
David Lan, artistic director of Waterloo's Young Vic, receives the CBE for services to theatre.
Earlier this year he was named as consulting artistic director for the new Performing Arts Center at the World Trade Center in New York, a role he will hold alongside his responsibilities in London.
Philip Sturrock, chair of Southwark's United St Saviour's Charity from 2008 until earlier this year, has been awarded the MBE.
He said: "It is a great honour to be appointed an MBE but the success of my work has depended entirely on the efforts of other volunteers and staff and tribute should be paid to their loyalty and commitment.
"I am pleased and proud to have served with inspirational people."
The Rt Hon Simon Hughes MP said: "It is unusual to find a person who can both unite an organisation and drive it forward. Philip has done both.
"The successful campaign to transfer the corporate trusteeship of Hopton's Almshouses to Southwark based St Saviour's, instead of some remote organisation, brought relief and joy to the Hopton's residents. I commend Philip on his honour."
Last year Mr Sturrock stepped down as chair of the Wandle housing association.