In nearby communities also attacked by Hamas gunmen, smaller events were held.
Elsewhere, Netanyahu visited the Iron Sword memorial in Jerusalem for victims of the Hamas attacks, lighting a candle to “remember our fallen, our hostages”.
In Tel Aviv’s biggest park, Israeli families gathered for an event billed as the Bereaved Families Memorial Ceremony, which served as an alternative to the official government memorial ceremony.
Some of Israel’s most popular singers gave emotional performances, while images of victims flashed on the screens.
The stage was adorned with items symbolising the attacks including burnt and broken cars from the Nova music festival, and a child’s bicycle and swing set from the Be’eri kibbutz.
Outside Israel, US President Joe Biden joined other world leaders in condemning what the “unspeakable brutality” of the Hamas attacks a year ago.
He also expressed horror at the subsequent war, saying “far too many civilians had suffered, far too much”.
Mourners also gathered at vigils around the world including in Australia, South Africa, Germany and the US.
In the UK, Sir Keir Starmer told the House of Commons he supported Israel’s right to defend itself. But Britain’s prime minister insisted there was no military solution to the current crisis and appealed for all sides to “step back”.