Welsh, heaps about in populous spots (5)

I believe the answer is:

towns

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'populous spots' is the definition.
The answer and definition can be both locations as well as being plural nouns.
Perhaps they are linked in a way I don't understand?

'welsh heaps about' is the wordplay.
'welsh' becomes 'W'.
'heaps' becomes 'tons' (synonyms).
'about' means one lot of letters goes inside another.
'w' put into 'tons' is 'TOWNS'.

'in' acts as a link.

Can you help me to learn more?

(Other definitions for towns that I've seen before include "Places" , "Settlements" , "Municipalities" , "Urban areas" .)

I've seen this clue in the Sydney Morning Herald.

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