Step 1

Preheat oven to 425°F. and prepare a baking sheet by placing a piece of parchment over it.

Step 2

Sift flour, sugar, salt, and baking powder into a large bowl.

Step 3

Using a pastry blender, or two knives, cut in butter and cream cheese until the mixture resembles coarse meal.

Step 4

Add egg, milk and chopped peaches. Mix with a fork until everything comes together to form a soft dough.

Step 5

Roll out onto a lightly floured surface and pat into a circle about a 1/2-inch thick.

Step 6

Cut into rounds with a 2-inch cookie or biscuit cutter, and sprinkle with a little bit of turbinado sugar, if desired.

Step 7

Place onto prepared baking sheet, about an inch apart and bake for 12 minutes or until lightly golden.

Step 8

Transfer to a wire rack and allow to cool 1-2 minutes before serving warm.