Don't think you need to uninstall your peer-blocker just make sure its not running in the background when you log in and connect to steam, end the peerblock program process in task manager if you have to. My Peerblock doesn't seem to affect steam if steam is already running, its only when you login to steam, think it has something to do with steam checking for updates.
How to disable Steam from running at start-up
Stop Steam from running automatically when computer starts
