Beat butter, rind, vanilla, sugar, egg and water. Stir in the sifted flour. Knead dough on floured surface and refrigerate for 30 minutes. Preheat oven to 180 degrees & grease oven trays or line with wax wrap. Roll out dough between 2 sheets of wax wrap & cut out shapes. Use a smaller cutter to cut out shape in the centre. Place on tray and bake for about 5-7 minutes. Remove and fill each centre with the crushed sweets. Bake for a further 5 minutes. Remove and cool.