Clarification needed here - it's not a knighthood he was gifted, it's a life peerage. A knighthood entitles you to be addressed as 'Sir', like for example Sir Alan Sugar, but does not come with a seat in the HoL.
A life peerage, on the other hand, entitles you to be addressed as 'Lord', as in Lord Sugar, as since being knighted, he has subsequently been been elevated to the peerage which supercedes his knighthood.