Not a sort of dreamy movement set up in Oxford college (6)
I believe the answer is:
merton
'oxford college' is the definition.
(I've seen this before)
'not a sort of dreamy movement set up in' is the wordplay.
'a sort of' indicates an anagram.
'dreamy movement' becomes 'rem' (rapid eye movement, a phase of sleep).
'set up' says the letters should be written in reverse (in a down clue, letters go up).
'in' means one lot of letters goes inside another.
'rem' written backwards gives 'mer'.
'not' anagrammed gives 'ton'.
'ton' going around 'mer' is 'MERTON'.
(Other definitions for merton that I've seen before include "Oxford college: London borough" , "Comic" .)