The ceremony took place Tuesday with the singer receiving the honor for his services to music and charity. Gibb, 71, attended the event with his wife, Linda and children, Michael, Alexandra and Ashley.
Gibb is the last surviving member of the Bee Gees, which also included his brothers Maurice and Robin. The band, which has sold over 120 million albums worldwide, is best known for songs such as "Staying Alive," "Night Fever" and "Tragedy" among others.
"If it was not for my brothers, I would not be here," Gibb said after being knighted. He would go on to call receiving the honor "surreal."
"It is a high award that your culture can give you and that is something I am enormously proud of," he continued.