I've just stumbled into "We’ll cover this idea more later" in a book. Is it a widely used form? and if so, what's the difference from plain 'later'?
To me it sounds weird, even ungrammatical, but I'm not a native English speaker.
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It is grammatically correct in this sentence, but there are conditions where it would be grammatically incorrect. The "more" in your example is modifying the verb "cover," whereas I believe you're reading it as modifying the adverb "later." "More" is clarifying the comparative degree of the verb (we will cover it in more detail than we just covered it now), while "later" is indicating when the action of covering the topic more will occur.
However, if the speaker meant to use "more" to modify "later," such a sentence would be gramatically incorrect.
Example: "It's much more later than my bedtime right now."
As you can see, this would be grammatically redundant, as the word "later" already means "more late." So, to modify it with the word "more" is unnecessary.