Varley is a small town located between Hyden and Lake King in the Wheatbelt region of Western Australia.

The area surrounding the town was opened for agricultural purposes in the 1930s and by 1938 the local progress association began campaigning to have the townsite gazetted.

It is thought that Hann was honouring a public servant in the mines department, Gustavus Varley.

The facilities in Varley include a comprehensive museum, recreation centre and golf course.

Nearby attractions include the Rabbit Proof Fence and the abandoned gold mining town of Hatters Hill.