Councils in England will get new powers from Saturday to force owners to shut pubs, cafes, shops and restaurants in areas hit by coronavirus outbreaks.
Boris Johnson said local authorities would also be able to close public places, like parks, and cancel events.
And he announced the government would issue "stay-at-home orders" where there are local outbreaks from next month.
These would stop people leaving defined areas and restrict public transport use until infection rates fall.
During a Downing Street press briefing, the prime minister announced the government's next range of measures aimed at restarting the economy while keeping the coronavirus infection rate down.
He said employers would get more discretion over asking people to return to workplaces, while indoor performance events would restart from August.
Mr Johnson said greater powers for local authorities would enable them "to act more quickly in response to outbreaks where speed is paramount", in what he called "lightning lockdowns".
County councils and unitary authorities will no longer have to get permission from a magistrate to close contaminated premises not deemed to be part of "essential infrastructure", in order to prevent the spread of coronavirus.
Government guidance says this "significantly" increases councils' powers and urges them to use them "with discretion".
There will be a right to appeal for businesses affected and local lockdowns must be reviewed weekly.
Mr Johnson said: "Action by local councils will not always be sufficient, so next week we will publish draft regulations on how central government can intervene more effectively at a local level.
"Where justified by the evidence, ministers will be able to close whole sectors or types of premises in an area, introduce local stay-at-home orders, prevent people entering or leaving defined areas, reduce the size of gatherings beyond the national defined rules or restrict transport systems serving local areas."
Analysis
By Jessica Parker, political correspondent
A more localised approach, when it comes to tackling Covid, has been used now for some time.
But Boris Johnson is also signalling a tougher approach: new powers for councils and for ministers as well.
One of those powers for central government is quite striking: the ability to prevent people entering or leaving defined areas.
As efforts to get the economy going mean the lockdown is loosening overall, the government's trying to tighten its ability to crack down on local outbreaks.
James Jamieson, chairman of the Local Government Association, which represents councils in England, said: "Greater powers for councils to take swift and effective action to address local outbreaks will hopefully help avoid the need for more stringent measures to be imposed locally."
But John Phillips, acting general secretary of the GMB union, said: "The prime minister has once again shown a failure of leadership in the face of this pandemic.
"Passing the responsibility of keeping the people safe to employers and local authorities is confusing and dangerous."
The government's latest measures follow the imposition of a lockdown in Leicester following a spike in coronavirus infections in the city.
On Thursday, Health Secretary Matt Hancock said some restrictions would be lifted there following a fall in cases.
Labour's London Mayor, Sadiq Khan said he did not have any "confidence that we could have a geographical lockdown in London", but added: "We probably could lock down a building, if it's a factory or a place of worship or a school."
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Coronavirus: Councils to get new shutdown powers - BBC News
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