'Jack' was born in Glasgow. He began his football career with Scottish club Benburb FC before moving to Third Lanark in June 1895. Two years later, he moved across the border into England and turned professional with Newcastle United in November 1897. Peddie helped his new club gain promotion to the top flight in his first season in 1898 as well as netting a brace in an impressive 2-1 F A cup upset of top flight Preston North End the same season.
After five seasons at centre forward Peddie moved to Manchester United in June 1902
In 1903 he left Manchester United and joined Plymouth Argyle for one season, returning to Manchester in 1904. In 1908, Peddie made an important contribution as Manchester United won the League, with twenty goals in forty six appearances. In total he scored fifty eight goals for Manchester United and became their club captain.
In January 1907, he moved back to Scotland to play for Hearts alongside Richard Wombwell and William Yates for a joint fee of £600. In the first round of the Scottish Cup, Hearts defeated Airdrieonians 2-0 at Broomfield and Peddie scored the second goal. Peddie missed the semi-final victory over Queens Park due to a knee injury which eventually ended his career. At Tynecastle, Jack Peddie received £5 per week in wages and he played inside right and centre forward.
In May 1907, Peddie received considerable treatment for the knee injury and was back in the team at the start of the 1907-08 season. But the injury kept flaring up and he played only 23 first team matches during 1906-07 and 1907-08 seasons, scoring five goals.
When James McGhee replaced William Waugh as Hearts manager in April 1908, Jack was transfer listed at £100. As Hearts retained Jack's contract until April 1911, he played amateur football from August 1908.