Lovely cathedral (3)

I believe the answer is:

ely

I'm a little stuck... Click here to teach me more about this clue!

'lovely cathedral' is the definition.
'ely' can be an answer for 'cathedral' (cathedral city in Cambridgeshire). I'm not sure about the 'lovely' bit.

'lovely cathedral' is the wordplay.
'ELY' is hidden within the letters.
But, I'm not sure how the hidden word is indicated.

Can you help me to learn more?

(Other definitions for ely that I've seen before include "Diocese in Eastern England" , "Fenland city" , "Cambs. city" , "Fenland cathedral town" , "'Isle' in Cambridgeshire" .)

I've seen this clue in the Evening Standard.

Want a hint initially instead of a full solution? Install my app