It may be used to cut skin and even bits of peel (7)
I believe the answer is:
scalpel
'it may be used to cut' is the definition.
The definition suggests a singular noun which matches the answer.
'skin and even bits of peel' is the wordplay.
'skin' becomes 'scalp' (scalp is a kind of skin).
'and' is a charade indicator (letters next to each other).
'even bits of' means one should take alternating letters (letters in even-numbered positions are used).
The alternating letters of 'peel' are 'el'.
'scalp'+'el'='SCALPEL'
Can you help me to learn more?
(Other definitions for scalpel that I've seen before include "A surgeon's knife 97)" , "Sharp cutting tool" , "Surgical tool" , "Operator may use this" , "Sharp blade" .)