Pour 2.5 c cold water into a large shallow pan or non-stick frying pan. Stir in the sugar and honey and cook over a low heat to dissolve the sugar. Bring to the boil, then bubble gently for 10 minutes.
Add the peaches, then cover and simmer in the sugar syrup for 5–10min until just soft. Remove with a slotted spoon, put on to a plate and leave to cool.
Boil the syrup for 10 mins until reduced to about 1 cup then cool and chill.
Skin the peaches if you want to and serve with a little of the honey syrup.