Beggar cut both loaf and a biscuit (7)
I believe the answer is:
lazarus
'beggar' is the definition.
(Lazarus is an example)
I cannot understand how the rest of the clue works.
Can you help me to learn more?
(Other definitions for lazarus that I've seen before include "Biblical beggar ? resurrected man" , "Brother of Mary and Martha, raised by Jesus from the dead" , "Beggar in parable" , "Brother of Martha and Mary, whom Jesus restored to life" , "Brother of Martha and Mary (NT)" .)