The Llanelli Scarlets ace is suffering from a neck injury picked up in the semi-final win over the Neath-Swansea Ospreys and was forced to pull out of the Munster showdown at Lansdowne Road.
However, it is not thought that the injury will prevent him from checking in with the rest of the Lions squad at their Vale of Glamorgan base next week.
"I'm really disappointed to be missing out on the match," Peel told the Western Mail.
"I've felt the effects of last weekend's tackle all week and unfortunately my neck still isn't right, but I'll be OK for the Lions.
Any fears that the blow may damage his Lions chances were also allayed by Scarlets assistant boss Nigel Davies.
"It's more a precautionary measure than anything," he said. "We have absolutely no long or even medium-term concerns with the problem."