Six serving soldiers have been arrested on suspicion of conspiracy to supply drugs, and money lending and laundering offences.
The six members of the Irish Guards were arrested along with a Coldstream Guards veteran this week in an operation led by the Royal Military Police.
The regiment was to lead the Trooping of the Colour on Thursday 2 June, as part of the Queen's Platinum Jubilee celebrations.
But the Ministry of Defence said the soldiers arrested would not be taking part.
An MoD spokesperson said: "As part of a planned operation the Royal Military Police arrested six Irish Guards soldiers and a Coldstream Guardsman veteran from across the UK on suspicion of conspiracy to supply drugs and money lending and laundering offences....
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