The code capacity threshold for error correction using biased-noise qubits is known to be higher than with qubits without such structured noise. However, realistic circuit-level noise severely restricts these improvements. This is because gate operations, such as a controlled-NOT (CX) gate, which do not commute with the dominant error, unbias the noise channel. Here, we overcome the challenge of implementing a bias-preserving CX gate using biased-noise stabilized cat qubits in driven nonlinear oscillators. This continuous-variable gate relies on nontrivial phase space topology of the cat states. Furthermore, by following a scheme for concatenated error correction, we show that the availability of bias-preserving CX gates with moderately sized cats improves a rigorous lower bound on the fault-tolerant threshold by a factor of two and decreases the overhead in logical Clifford operations by a factor of five. Our results open a path toward high-threshold, low-overhead, fault-tolerant codes tailored to biased-noise cat qubits.