The most common and most likely answer to this crossword clue is the 7 letter word SHEATHS
I've seen this crossword clue in Financial Times
S
H
E
A
T
H
S
More clues leading to the result SHEATHS
Buddy explains!
The straight part
We know that "dresses" is the straight/definition part of the clue. The straight part is often a synonym or definition, in this case dresses = sheaths.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 SHEATHS mean?
SHEATHS noun- A holster for a sword; a scabbard.
- (by extension) Anything that has a similar shape to a scabbard that is used to hold an object that is longer than it is wide.
- The base of a leaf when sheathing or investing a branch or stem, as in grasses.
- The insulating outer cover of an electrical cable.
- One of the elytra of an insect.
- A tight-fitting dress.
- The foreskin of certain animals (for example, dogs and horses).
- A condom.