The most common and most likely answer to this crossword clue is the 7 letter word LITOTES
I've seen this crossword clue in Independent
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More clues leading to the result LITOTES
- No small matter, for example, translating TS Eliot
- Kid in stories not exactly well-behaved, for example
- Rhetorical device in stories enthralling small child
- Child tucking into pork pies not the smallest, for example
- Is untruthful about drink? An understatement
- Little child in stories making understatement
- Is dishonest after consuming drink? That’s an understatement!
- Toilets revolting; and that’s an understatement
- Is prone to imbibe dram? That’s understatement
- Child captivated by stories in which not a little is a lot?
Buddy explains!
The straight part
We know that "that’s an understatement" is the straight/definition part of the clue. The straight part is often a synonym or definition, in this case that’s an understatement = litotes.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 LITOTES mean?
LITOTES noun- An ironic figure of speech whereby something is stated by denying its opposite, particularly the negation of a negative quality to say something positive.