A 2-edge-coloured graph $G$ is called {\bf locally complete} if for each vertex $v$, the vertices adjacent to $v$ through edges of the same colour induce a complete subgraph in $G$. Locally complete 2-edge-coloured graphs have nice properties and there exists a polynomial algorithm to decide whether such a graph has an alternating hamiltonian cycle, where alternating means that the colour of two consecutive edges on the cycle are different. In this paper we show that graphs having locally complete 2-edge-colourings can be recognized in polynomial time. We give a forbidden substructure characterization for this class of graphs analogous to Gallai's characterization for cocomparability graphs. Finally, we characterize proper interval graphs and proper circular-arc graphs which have locally complete 2-edge-colourings by forbidden subgraphs.