Manchester band in watering hole (5)
I believe the answer is:
oasis
This clue is a double definition.
'manchester band' is the first definition.
(I've seen this before)
'watering hole' is the second definition.
(I've seen this before)
'in' acts as a link.
(Other definitions for oasis that I've seen before include "where palms grow" , "Safe haven" , "retreat" , "Fertile place like waterhole in desert" , "English rock group in the desert" .)