Preheat the oven to 180 degrees C/350F and grease and line an 8 inch cake tin.
Place the flour, baking powder and chopped peaches into a medium sized bowl and toss to combine. (Tossing the fruit in the flour will stop them sinking to the bottom of the cake!)
Place the butter and sugar into a large bowl or the bowl of your stand mixer and beat until light and fluffy, about 2 minutes on med-high speed.
Add in the egg and vanilla extract.
Mix until well combined and smooth, about 1 minute on med-high speed.
Add in the flour mix and mix on a low speed for about 30 seconds. After this finish by folding the flour in by hand so you don't mash the peaches up.
Tip the cake batter into your greased cake tin and place in the oven for 40-45 minutes until risen, golden and an inserted skewer in the centre comes out clean.
Leave to cool in the cake tin for at least an hour before transferring to a wire rack to cool completely.
Once cooled, sieve some icing sugar on the top if desired.
Cake will keep in an airtight container, at room temperature for up to 4 days.