Preheat oven to 375°F and grease a 9x5-inch loaf pan.

Cream together the cream cheese and butter until smooth. Add sugar, eggs, and lemon zest and beat until light.

In a separate bowl, whisk flour, baking powder, salt, and cinnamon.

Alternate adding dry ingredients and milk to the wet mixture, mixing just until combined.

Gently fold in the diced peaches.

Pour batter into the prepared pan and bake for 50–55 minutes until a toothpick comes out clean.

Cool in the pan for 10–15 minutes, then transfer to a wire rack to cool completely.