The traditional use of cement for soil stabilisation is challenged by peat due to the high organic content in peat and the associated unfavourable environmental and economic impacts. This study explores the potential and benefits of using manufactured sand, an economical, easily accessible and environmentally friendly construction material, with cement for peat stabilisation. Experiments were conducted with a view to investigating the optimal dosage of manufactured sand and cement, as evidenced by the improvement in the physico-chemical and mechanical qualities of stabilised peat. Based on the required strength of 1.00 MPa in engineering practice, an optimal configuration was determined with the ratio of manufactured sand to peat being 5:5, and the cement content 36.15%. At the optimal configuration, the unconfined compressive strength of stabilised peat was 2.33 times greater than the specimens without sand, and the void ratio was reduced from 1.72 of natural peat to less than 0.58. Optimal configuration can reduce cement dosage by 36.36%, hence carbon emissions by 36.36%, and costs by 38.28%. This study established that using manufactured sand with cement offered an economical, efficient and environmentally friendly engineering solution to peat stabilisation.