Note covering wraps round nuts and washer (10)
I believe the answer is:
'washer' is the definition.
(place where clothes can be washed)
'note covering wraps round nuts' is the wordplay.
I cannot quite understand how this works, but
'note' could be 'la' (musical note as in do-re-mi) and 'la' is found within the answer.
'covering' could be 'mat' (mat is a kind of covering) and 'mat' is found in the answer.
an anagram of 'round' is 'undro' which is located in the answer.
No letters remain.
This explanation may well be incorrect...
'and' acts as a link.