Modernisation can be novel in genuine surroundings (7)
I believe the answer is:
renewal
'modernisation' is the definition.
(I've seen this before)
'novel in genuine surroundings' is the wordplay.
'novel' becomes 'new' (novel means new or fresh).
'in genuine' becomes 'real' (associated in meaning. I am not sure about the 'in' bit.).
'surroundings' means one lot of letters goes inside another.
'new' inserted into 'real' is 'RENEWAL'.
'can be' acts as a link.
Can you help me to learn more?
(Other definitions for renewal that I've seen before include "reconditioning" , "Action of restoration" , "Renovation; resumption" , "Extension of validity" , "Resumption, re-establishment" .)