As I understand it (and the other Britposters can correct me here) the reason that any boundary review would boost the Tories are twofold:
1) England receives a fairer share of the seats and the Tories are stronger in England.
2) People moving out of cities over time has led to cities being overrepresented in seats.
One thing that needs stressing for American posters is that the boundary review is nonpartisan and decided by independent bodies in each of the four nations. Biases do slip in occasionally but nothing like Illinois or North Carolina.
You are correct. It’s particularly Labour voting Wales that is overrepresented. It’s also post-industrial areas seeing relatively low population growth (if any) that has traditionally led to boundary reviews helping the Conservatives. Against this, the Tory gains in Welsh marginals and many ‘left behind’ areas has narrowed their notional benefit from boundary reviews. Also, this review was based on a more accurate electoral register than the 2015 one which has resulted in more private renters/students being counted (and Labour has generally been gaining in these sorts of ‘cosmopolitan’ areas) which has further reduced the previous national Conservative gains.
To add, the bias usually results from one party making more of an effort and knowing how to persuade the commission with non-partisan reasoning. Labour’s response to the pre-1997 review has been viewed as one of the most successful attempts to get favourable boundaries (though I can’t remember if it made much actual difference given they easily won the next 2 elections).