Local Services Ads (LSA) are a Google ad format for local service businesses, such as trades and some professional services, that have passed Google’s screening checks. They appear at the very top of results for relevant searches, show a badge confirming the business was checked, and charge for each lead, such as a call or message, rather than for each click.
How Local Services Ads work
A business applies for the categories it serves, sets its service area and working hours, and goes through Google’s verification. Depending on the category, that can include identity and background checks, licence or registration checks and proof of insurance. Once approved, the business can show a badge such as Google Guaranteed or Google Screened, with the name and the protection behind it depending on the category and country.
The ads appear for searches such as “electrician near me” or “locksmith Hackney” in eligible categories. A searcher sees a short list of businesses with their badge, rating and number of reviews, and can call or message directly. The business pays when a qualifying lead arrives, not when someone looks at the ad. Leads that fall outside the service, such as a job in a category you did not select, can be disputed for a credit.
Placement depends on factors Google describes, including proximity to the customer, review score and number of reviews, how quickly the business responds to enquiries, its hours, and whether it has had serious complaints. The bid and budget matter, but a business that misses calls tends to slip down regardless of what it spends.
Why it matters in the UK
The UK has a narrower range of eligible categories than the United States, and the list changes. At the time of writing (October 2026), it covers a selection of home services and some other local service categories; check Google’s UK help pages for the current list and checks before you plan around it. Much of what is written online about LSA describes the American programme, including categories and guarantee terms that do not apply here.
Where your category is eligible, LSA can be a useful channel. The badge reassures customers who are wary of letting a stranger into their home, and paying per lead makes costs easier to predict than paying per click. It sits above ordinary Google Ads search ads and the local pack, so it catches people before they scroll.
Common mistakes
- Planning from American advice. Categories, badge names and the money-back terms differ by country. Confirm what applies in the UK.
- Slow responses. Missed calls and unanswered messages both lose the job and push your listing down.
- Not checking lead quality. Without a record of which leads became work, you cannot tell whether your cost per lead is good or bad.
- Too wide a service area. Claiming boroughs you rarely reach brings leads you cannot serve profitably.
- Neglecting reviews. The ads lean heavily on your review profile, so a thin or poor one limits what any budget can do.
How to act on it
First, check whether your category is available in the UK and what checks it requires. Gather your insurance documents and any trade registrations in advance, because verification is usually the slowest step.
Decide what a lead is worth by looking at how many enquiries become jobs and what a typical job earns. That tells you the most you can afford to pay. Set your service area to the postcodes you genuinely want to work in and your hours to when someone can answer the phone.
Once running, log every lead, mark which ones became work and dispute the ones that should not have been charged. Keep your Google Guaranteed or screening status current, because lapsed insurance or documents can take you off the results, and compare cost per job with your search campaigns so you know which channel deserves more budget. If you want help deciding how LSA fits alongside search campaigns, my Google Ads service covers both.