The similarly looking ring $\mathbb{Z}\Bigl[\dfrac{1 + \sqrt{-7}}{2}\Bigr]$ actually is Euclidean (see here).
Now I want to show that $\mathbb{Z}\bigl[1 + \sqrt{-7}\bigr]$ is not Euclidean.
Proof: First we note that $\mathbb{Z}\bigl[1 + \sqrt{-7}\bigr] = \mathbb{Z}\bigl[\sqrt{-7}\bigr]$. Assume that $1 + \sqrt{-7}$ is reducible, that means there exist $k, l, m, n \in \mathbb{Z}$ so that $$\bigl(k + l \sqrt{-7}\bigr)\bigl(m + n \sqrt{-7}\bigr) = k m - 7 l n + (k n + l m)\sqrt{-7} = 1 + \sqrt{-7}.$$ Do the equations $$k m - 7 l n = 1 \\ k n + l m = 1$$ have a solution?
In the case $k m \leq 0 \land l n \geq 0$ there is obviously no solution. The case $k m \geq 0 \land l n \leq 0$ only has the solutions $k = m = \pm 1$ and $(l = 0 \land n = k) \lor (l = 1 \land n = k)$, which is just a unit times an associated element of $1 + \sqrt{-7}$.
In the other two cases (that is $k m$ and $l n$ have the same sign) $k n$ and $l m$ must have the same sign, so the only two solution of the second equation would be $k n = 1 \land l m = 0$ or $k n = 0 \land l m = 1$, which again gives us just a unit times an associated element. So $1 + \sqrt{-7}$ is irreducible.
Since $\bigl(1 + \sqrt{-7}\bigr)\bigl(1 - \sqrt{-7}\bigr) = 8 = 2^3$ the ring $\mathbb{Z}\bigl[1+\sqrt{-7}\bigr]$ is not even an unique factorization domain, so it can't be Euclidean. $\square$
Everything ok?
The irreducibility proof of $1 + \sqrt{-7}$ was pretty cumbersome... perhaps using the norm is faster?
Thank you!