When the DPD or Interlink label says 'Local' this is due to a parcel that is being delivered within the same locality of where the parcel has originated from, in other words the parcel would not need to come down to the Hub, but stay within the locality of the depot to get scanned and resent back out. 

If you believe this to be a mistake as the Parcel is leaving your locality, this suggest your Senders Address is not correct on your Shiptheory account. Please contact support to correct your senders address.