The most common and most likely answer to this crossword clue is the 5 letter word ROOMS
I've seen this crossword clue in The Daily Telegraph
R
O
O
M
S
Buddy explains!

The straight part
We know that "Digs" is the straight/definition part of the clue. The straight part is often a synonym or definition, in this case digs = rooms.The cryptic/wordplay part
In cryptic crossword there's often an wordplay/cryptic part as well.This part involves a more complex hint, such as an anagram, homophone, hidden word, etc.
Sadly, We don't have an explanation for this specific crossword clue yet.
What does ROOMS mean?
ROOMS noun- Opportunity or scope (to do something).
- Space for something, or to carry out an activity.
- A particular portion of space.
- Sufficient space for or to do something.
- A space between the timbers of a ship's frame.
- Place; stead.
- A separate part of a building, enclosed by walls, a floor and a ceiling.
- (with possessive pronoun) (One's) bedroom.
- (in the plural) A set of rooms inhabited by someone; one's lodgings.
- (always in the singular, metonymy) The people in a room.
- An area for working in a coal mine.
- A portion of a cave that is wider than a passage.
- A IRC or chat room.
- Place or position in society; office; rank; post, sometimes when vacated by its former occupant.
- Furniture sufficient to furnish a room.
- To reside, especially as a boarder or tenant.
- To assign to a room; to allocate a room to.