I think the answer Wally is correct, it is just dahn in sarf london we spell (and pronounce) the word Wolly as "Wally".
Rhymes with Jolly -
(or Collie, a bit like J from A's dog, if she was a Collie - doesn't look like one tho...
...how about, volley, or Folly?
Toodle-oo