Line a 9-inch square pan with foil.
In 3-quart pan, heat the milk and sugar over medium heat. Bring to a boil, stirring occasionally with a wooden spoon.
Mix in peach puree and cinnamon; bring back to a boil. Stir In marshmallow crème and butter. Bring to a rolling boil, cook, stirring occasionally for 18 – 20 minutes.
Remove from heat. Add chips and vanilla. Pour into foil-lined pan and cool completely.
Remove from pan, removed from boil and cut into squares.
Store in air tight container in refrigerator.