Peppercorn ceremony in King's Square.

The rain managed to hold off and, with the cruise ship Norwegian Majesty providing a suitably impressive backdrop, the historic ceremony went off without a hitch.

A military gun salute got proceedings underway before Lyme Regis town crier Philip Street, resplendent in traditional costume, announced the arrival of Governor Thorold Masefield and his wife Jennifer to the ceremony.

A host of dignitaries watched as the Governor, wearing full formal dress and plumed hat, entered the square in a horse drawn cart to be greeted by town mayor Lois Perinchief, also wearing traditional robes.

The Peppercorn Ceremony is one of the Island's most colourful and curious events, dating back to 1816, when the rent of one peppercorn a year was set as the fee to allow the Freemason's Lodge of St. George's to meet in the oldest building in Bermuda.

The two dignitaries carried out an inspection of Regiment troops before the mayor officially welcomed the Governor and his wife.

"I extend a warm welcome to you and Mrs. Masefield to St. George's, the oldest English speaking town in the western hemisphere and the former capital of Bermuda,'' she said.

She also paid tribute to PLP MP Jimmy Williams, who was not at the ceremony because of ill health.

"He has given 16 years of service to this town and we wish him a speedy recovery,'' she said.

The Mayor also highlighted the fact that three women now held key political positions on the Island and also said that this year's ceremony marked a first for several reasons, including the fact that it was the first time both herself and Governor Masefield had attended the ceremony in an official capacity.

She ended her welcoming speech by highlighting the town's strong historical connections and announced that more work would be carried out by the Corporation to enhance this aspect of the town.

"When we look to the future we will continue to implement additional town heritage projects,'' she said.

"The progress that's been made over the past few years has been largely due to the partnerships that the Corporation has developed.

"We have several relationships with various Government ministers and we think the Premier and Government have supported us.''