Studying Berkshire town (7)
I believe the answer is:
reading
I believe this is a double definition.
'studying' is the first definition.
('read' can be a synonym of 'study')
'berkshire town' is the second definition.
(I've seen this before)
(Other definitions for reading that I've seen before include "Passage" , "Oscar Wilde's Gaol" , "Knowledge of literature" , "Interpreting text" , "Perusing in an English town?" .)