Following the Battle of France Peltz was sent to Greifswald for conversion training to the Junkers Ju 88. In August 1940 he was posted to the "Geschwaderstab" (headquarters unit) of "Kampfgeschwader" 77 (KG 77—77th Bomber Wing) based in Laon at the Channel Front. He flew 70 daytime and nocturnal missions in the Battle of Britain including special operations of him alone attacking specific targets. Following his 130th mission in total as a dive bomber pilot over Poland and France, as well as a bomber pilot over England, he was awarded the Knight's Cross of the Iron Cross () on 14 October 1940. The presentation was made by "Reichsmarschall" (Empire's Marshal) Hermann Göring, he received the award together with "Major" (Major) Friedrich Kless, "Gruppenkommandeur" (group commander) of the II./"Kampfgeschwader" 55 (KG 55—55th Bomber Wing).