Played ace OK, nibbling at biscuit (7)

I believe the answer is:

oatcake

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'biscuit' is the definition.
(I know that oatcake is a type of Cracker)

I don't understand how the rest of the clue works.

Can you help me to learn more?

(Other definitions for oatcake that I've seen before include "Traditional Scots biscuit" , "Savoury biscuit" , "something like a biscuit" , "Thin biscuit made of ground grain" , "Scots biscuit-like food" .)

I've seen this clue in The Telegraph.

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