The 34-year-old, who is now touring New Zealand with the British and Irish Lions, dedicated his honour to the hundreds of people he believes have helped him carve out a distinguished worldwide rugby career.
Meanwhile, Andy Murray's mum and Strictly star Judy Murray has become an OBE, in recognition of her work to grow tennis and to encourage more women to partake in sport.
"This honour is testimony to IDS, the Institute that has nurtured my career and which I've been privileged to lead for the last three years, as well as to the many colleagues and teams I have worked with here and around the world".
Under his stewardship, the organisation set on the road to its highest ever participation figures, was awarded the right to host major events including the 2018 Women's World Cup, and also won medals in all of the sport's major global tournaments, including a first Olympic medal in 20 years.
Ed Sheeran, who has been awarded an MBE in the Queen's Birthday Honours List.
He will be joined by songstress Emeli Sandé who also receives an MBE for her services to music.
Metropolitan Police Commissioner Cressida Dick said she and her colleagues were "immensely proud" of Pc Palmer's bravery. Julie Walters has been appointed a Dame, alongside fellow actress June Whitfield and funnyman Billy Connelly.
Roderick Williams, from Kineton, has been made OBE for services to music.
Zoe Frais, from Alnwick, receives a British Empire Medal for services to young people and the community in Alnwick.
David Walliams is made OBE for services to charity and the arts - Britain's Got Talent Judge David has done so many things for charity, such as: Swimming the English Channel for Sport Relief, swimming the Strait of Gibraltar and swimming the Thames.
Sheila and Trevor Fairhurst, parents of 19-year-old Carly, whose then boyfriend was convicted of her manslaughter in 2006, are awarded MBEs for their services to people who have suffered domestic abuse.