The famous battle that took place on the banks of the Thames River in 1216 was the Battle of London Bridge. This battle was part of the First Barons' War in England, which was fought between the forces loyal to King John and those of the rebellious barons. The battle was significant as it demonstrated the barons' resistance against King John's rule, particularly due to his heavy taxation and failure to uphold the Magna Carta. Although King John was eventually defeated, the conflict underscored the ongoing struggle for power between the monarchy and the nobility, influencing the future of English governance.