Whilst having local "lockdowns" does carry some merit, it is true that this will make planning for businesses, transport, even health care very problematic to say the least. Now looking around at some of the data, the mean incubation period for the virus is coming in at around 5-6 days, as opposed to the more cautious outlier of 14 days adopted by the government's new policy (there have been some instances of incubation periods into 20+ days, but these seem to be the absolute exceptions rather than the norm). So what I would propose is that a 14 day "lockdown" come not only with intensive test & tracing, but also a 7 day review of that testing data to see if the lockdown can be released early if the trend is in the right direction.
What this would mean is that businesses could get back to normal operations by day +15 rather than waiting for the 14 day review, and then having to restart supply chains, prepare premises and maybe not get back into operation for several days after a 14 day reviews clears the lockdown. We need to be able to quickly respond to local spikes, which are likely to happen, but also be able to clear any additional measures quickly to minimise disruption to the local economies. Too many businesses are on the edge right now, and even short future disruptions could spell the death knell for them and tens, maybe hundreds of thousands of jobs.