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Blitz 85g of the hazelnuts in a food processor until ground. Cut the rest of the hazelnuts in half.
Pulse the ground hazelnuts, butter, flour, cheddar, ½ tsp salt and the egg in the food processor a few times. Don’t pulse for too long – you want the mixture to look like breadcrumbs rather than coming together in a ball. Tip the mixture onto a large piece of cling film and, using the cling film to shape it, mould it into a ball, then leave in the fridge for a couple of hours.
Heat oven to 200C/180C fan/gas 6. Pull off chunks of the dough – about a tablespoon at a time – and roll each piece into a ball. Place on a baking sheet and flatten each biscuit to around 3.5cm across, leaving room between each one. Push 3-4 hazelnut halves into each biscuit. Cook for 10 mins, or until the biscuits are golden brown. Leave to cool on the baking sheet, then transfer to a wire rack. Will keep for up to three days in an airtight container.