This is rhyming slang.
Dame Judi
Dench = stench.
It naturally is no reflection on the actress or her
thespian abilities. The joy of the phrase is the total irrelevance of the subject to the meaning.
It is quoted several times in
Irvine Welsh's novels; some readers have misunderstood what it means when used in phrases liked "He left a Dame Judi Dench in the toilet" - the text would refer to the odour, not the stool.