The visitors to the waxwork museum put Iraqi president Saddam Hussein, who topped the poll last year, in fourth place and UK Prime Minister Tony Blair in fifth.
The singer, who came third, was beaten only by Germany's wartime Nazi leader Adolf Hitler, who came first, and former Serbian leader Slobodan Milosevic.
The visitors to the waxwork museum put Iraqi president Saddam Hussein, who topped the poll last year, in fourth place and UK Prime Minister Tony Blair in fifth.
Gallagher's notoriety may have been fuelled by his recent slanging matches with singer Robbie Williams, when he dedicated his Q award to the former Take That star for being "queer".
The Oasis frontman also recently divorced from actress Patsy Kensit, and is expecting his second child with All Saints' singer Nicole Appleton.
But Gallagher's award did not tarnish the reputation of his rival Robbie Williams, whose waxwork won three categories in the votes cast by more than 800 Tussauds visitors last year.
Williams, the performer of such hits as Millennium and Rock DJ won hottest superstar, favourite entertainer and favourite artist categories.
Mr Blair's unpopularity was quite a fall from grace, given that last year he won the favourite politician poll - this year it was won by outgoing US President Bill Clinton.
Diana, Princess of Wales retained her title as the favourite figure, but she lost the most beautiful person category, which she has held for the past 15 years, to actress Catherine Zeta Jones.
It is the first time the Welsh-born actress, who recently married Michael Douglas, has shown up in the polls.
But keeping up the side for the Royals was Prince William, a new entry in the most beautiful category at number five - just behind Marilyn Monroe.