Tree hugged by Grace Darling (5)
I believe the answer is:
cedar
'tree' is the definition.
(cedar is a kind of tree)
'hugged by grace darling' is the wordplay.
'CEDAR' is hidden in amongst the letters.
But, I am uncertain how this is indicated.
Can you help me to learn more?
(Other definitions for cedar that I've seen before include "Leaving body" , "representative of Lebanon?" , "Tree (Lebanese?)" , "Raced around a great hardwood tree" , "Cypress-like tree" .)