Distinguished peer must accept cheers (7)
I believe the answer is:
notable
'distinguished' is the definition.
(thesaurus)
'peer must accept cheers' is the wordplay.
'peer' becomes 'noble' (I've seen this before).
'must accept' indicates putting letters inside.
'cheers' becomes 'ta' (I've seen this in other clues).
'noble' placed around 'ta' is 'NOTABLE'.
(Other definitions for notable that I've seen before include "Widely known and esteemed" , "Eminent" , "Worthy of remark" , "Worthy of record" , "Star" .)