I'm dredging this old thread up because I've been reminiscing about some of my favourite children's book.
From when I was really young, I had a book about a squirrel. The squirrel was moveable, and you fed it through slots in the pages of the books. It was called
A Squirrel's Tale by Richard Fowler. It was
awesome! I think I'm going to try to buy it.

I also had this book called
The Blue Banana by Bronnie Cunningham, which was about the quest for a magic, everlasting blue banana that tasted of whatever you wanted it to. My mum informs me there was a horse called Whirlwind in it, too.

Sadly, it doesn't seem to be availably any where, but it was a fabulous book.
I've also got a few books by a woman called Angela Sheehan. They're in what's called the Eye-View Library and they're about British animals. They go through the lifecycle of each animal, with some gorgeous illustrations. I've got
The Duck, The Fox, The Bumblebee, The Frog, and
The Hedgehog. There are more available on Abebooks and I have to say, I think I'm going to have to buy them, because they're lovely.

As for other favourites (which I still own):
Shadow the Sheepdog by Enid Blyton - one of my all-time favourite books and a lesser-known Enid Blyton book.
The Hobbit by ... do I really need to say?
Swallows and Amazons and its sequels by Arthur Ransome. I love Arthur Ransome, he was a sailor and thus he writes sailing stories really well.
Black Beauty by Anna Sewell
Watership Down by Richard Adams
Those are a few of my favourites.
