Loops round reel (5)
I believe the answer is:
spool
'reel' is the definition.
(I know that reel can be written as spool)
'loops round' is the wordplay.
'round' says the letters should be written backwards.
'loops' backwards is 'SPOOL'.
(Other definitions for spool that I've seen before include "Bobbin, reel" , "Loops around a thread holder" , "On which film is wound" , "Film reel; wind" , "Cylinder for winding film etc" .)