Hi,
This is a bit complex, but here goes

A chap named Peter Joseph DALY enlisted in WW2
You can see this file
https://recordsearch.naa.gov.au/ Search as a guest and enter the full name see digitised documents.
Wrong details (differing from your details given) are his birthdate, his exact place of birth in Ireland.
Right in accordance with your post, horse worker, a stud groom.
His NOK is listed as wife Annie who lives at 3 Palermo Street Mentone.
The record details an accident in Melbourne while on duty in 1942 which fractured his leg severely and he was discharged.
ALSO in the file is a letter from Norfolk from a person searching for one of that name for family reasons. Signed P E DALY. Searching for "my uncle"
It is dated1998.
The details given of the chap being sought in the letter are
Left UK in 1920's
An address "The Nook" Stud , Nagambie
Wife- Mignon
Daughter-
*N......... (edited as I cannot state deceased.)
That he was injured in New Guinea Port Morsby in 1942
A look at the Vic Electoral Roll finds.
1967
DALY, ANNIE MIGNON 3 Palermo Street Mentone
DALY
* N.......... (edited as I cannot state deceased.) 3 Palermo Street Mentone.
From 1962 to 1968
DALY, Peter Joseph "Hollywood" Tilden Rd. Park Manager
No others with him of the name.
* Identical
Sue