diff --git a/cmd/input.go b/cmd/input.go
index 36af6d8..59c1400 100644
--- a/cmd/input.go
+++ b/cmd/input.go
@@ -59,6 +59,7 @@ type Input struct {
 	logPrefixJobID                     bool
 	networkName                        string
 	useNewActionCache                  bool
+	localRepository                    []string
 }
 
 func (i *Input) resolve(path string) string {
diff --git a/cmd/root.go b/cmd/root.go
index 9a4b5ff..3eca040 100644
--- a/cmd/root.go
+++ b/cmd/root.go
@@ -100,6 +100,7 @@ func Execute(ctx context.Context, version string) {
 	rootCmd.PersistentFlags().BoolVarP(&input.actionOfflineMode, "action-offline-mode", "", false, "If action contents exists, it will not be fetch and pull again. If turn on this,will turn off force pull")
 	rootCmd.PersistentFlags().StringVarP(&input.networkName, "network", "", "host", "Sets a docker network name. Defaults to host.")
 	rootCmd.PersistentFlags().BoolVarP(&input.useNewActionCache, "use-new-action-cache", "", false, "Enable using the new Action Cache for storing Actions locally")
+	rootCmd.PersistentFlags().StringArrayVarP(&input.localRepository, "local-repository", "", []string{}, "Replaces the specified repository and ref with a local folder (e.g. https://github.com/test/test@v0=/home/act/test or test/test@v0=/home/act/test, the latter matches any hosts or protocols)")
 	rootCmd.SetArgs(args())
 
 	if err := rootCmd.Execute(); err != nil {
@@ -561,7 +562,7 @@ func newRunCommand(ctx context.Context, input *Input) func(*cobra.Command, []str
 			Matrix:                             matrixes,
 			ContainerNetworkMode:               docker_container.NetworkMode(input.networkName),
 		}
-		if input.useNewActionCache {
+		if input.useNewActionCache || len(input.localRepository) > 0 {
 			if input.actionOfflineMode {
 				config.ActionCache = &runner.GoGitActionCacheOfflineMode{
 					Parent: runner.GoGitActionCache{
@@ -573,6 +574,18 @@ func newRunCommand(ctx context.Context, input *Input) func(*cobra.Command, []str
 					Path: config.ActionCacheDir,
 				}
 			}
+			if len(input.localRepository) > 0 {
+				localRepositories := map[string]string{}
+				for _, l := range input.localRepository {
+					k, v, _ := strings.Cut(l, "=")
+					localRepositories[k] = v
+				}
+				config.ActionCache = &runner.LocalRepositoryCache{
+					Parent:            config.ActionCache,
+					LocalRepositories: localRepositories,
+					CacheDirCache:     map[string]string{},
+				}
+			}
 		}
 		r, err := runner.New(config)
 		if err != nil {
diff --git a/pkg/runner/local_repository_cache.go b/pkg/runner/local_repository_cache.go
new file mode 100644
index 0000000..b59ad34
--- /dev/null
+++ b/pkg/runner/local_repository_cache.go
@@ -0,0 +1,91 @@
+package runner
+
+import (
+	"archive/tar"
+	"bytes"
+	"context"
+	"fmt"
+	"io"
+	"io/fs"
+	goURL "net/url"
+	"os"
+	"path/filepath"
+	"strings"
+
+	"github.com/nektos/act/pkg/filecollector"
+)
+
+type LocalRepositoryCache struct {
+	Parent            ActionCache
+	LocalRepositories map[string]string
+	CacheDirCache     map[string]string
+}
+
+func (l *LocalRepositoryCache) Fetch(ctx context.Context, cacheDir, url, ref, token string) (string, error) {
+	if dest, ok := l.LocalRepositories[fmt.Sprintf("%s@%s", url, ref)]; ok {
+		l.CacheDirCache[fmt.Sprintf("%s@%s", cacheDir, ref)] = dest
+		return ref, nil
+	}
+	if purl, err := goURL.Parse(url); err == nil {
+		if dest, ok := l.LocalRepositories[fmt.Sprintf("%s@%s", strings.TrimPrefix(purl.Path, "/"), ref)]; ok {
+			l.CacheDirCache[fmt.Sprintf("%s@%s", cacheDir, ref)] = dest
+			return ref, nil
+		}
+	}
+	return l.Parent.Fetch(ctx, cacheDir, url, ref, token)
+}
+
+func (l *LocalRepositoryCache) GetTarArchive(ctx context.Context, cacheDir, sha, includePrefix string) (io.ReadCloser, error) {
+	// sha is mapped to ref in fetch if there is a local override
+	if dest, ok := l.CacheDirCache[fmt.Sprintf("%s@%s", cacheDir, sha)]; ok {
+		srcPath := filepath.Join(dest, includePrefix)
+		buf := &bytes.Buffer{}
+		tw := tar.NewWriter(buf)
+		defer tw.Close()
+		srcPath = filepath.Clean(srcPath)
+		fi, err := os.Lstat(srcPath)
+		if err != nil {
+			return nil, err
+		}
+		tc := &filecollector.TarCollector{
+			TarWriter: tw,
+		}
+		if fi.IsDir() {
+			srcPrefix := srcPath
+			if !strings.HasSuffix(srcPrefix, string(filepath.Separator)) {
+				srcPrefix += string(filepath.Separator)
+			}
+			fc := &filecollector.FileCollector{
+				Fs:        &filecollector.DefaultFs{},
+				SrcPath:   srcPath,
+				SrcPrefix: srcPrefix,
+				Handler:   tc,
+			}
+			err = filepath.Walk(srcPath, fc.CollectFiles(ctx, []string{}))
+			if err != nil {
+				return nil, err
+			}
+		} else {
+			var f io.ReadCloser
+			var linkname string
+			if fi.Mode()&fs.ModeSymlink != 0 {
+				linkname, err = os.Readlink(srcPath)
+				if err != nil {
+					return nil, err
+				}
+			} else {
+				f, err = os.Open(srcPath)
+				if err != nil {
+					return nil, err
+				}
+				defer f.Close()
+			}
+			err := tc.WriteFile(fi.Name(), fi, linkname, f)
+			if err != nil {
+				return nil, err
+			}
+		}
+		return io.NopCloser(buf), nil
+	}
+	return l.Parent.GetTarArchive(ctx, cacheDir, sha, includePrefix)
+}
diff --git a/pkg/runner/runner_test.go b/pkg/runner/runner_test.go
index 96738a8..4dc01e1 100644
--- a/pkg/runner/runner_test.go
+++ b/pkg/runner/runner_test.go
@@ -6,6 +6,7 @@ import (
 	"fmt"
 	"io"
 	"os"
+	"path"
 	"path/filepath"
 	"runtime"
 	"strings"
@@ -14,6 +15,7 @@ import (
 	"github.com/joho/godotenv"
 	log "github.com/sirupsen/logrus"
 	assert "github.com/stretchr/testify/assert"
+	"gopkg.in/yaml.v3"
 
 	"github.com/nektos/act/pkg/common"
 	"github.com/nektos/act/pkg/model"
@@ -187,6 +189,7 @@ func (j *TestJobFileInfo) runTest(ctx context.Context, t *testing.T, cfg *Config
 		GitHubInstance:        "github.com",
 		ContainerArchitecture: cfg.ContainerArchitecture,
 		Matrix:                cfg.Matrix,
+		ActionCache:           cfg.ActionCache,
 	}
 
 	runner, err := New(runnerConfig)
@@ -209,6 +212,10 @@ func (j *TestJobFileInfo) runTest(ctx context.Context, t *testing.T, cfg *Config
 	fmt.Println("::endgroup::")
 }
 
+type TestConfig struct {
+	LocalRepositories map[string]string `yaml:"local-repositories"`
+}
+
 func TestRunEvent(t *testing.T) {
 	if testing.Short() {
 		t.Skip("skipping integration test")
@@ -307,6 +314,9 @@ func TestRunEvent(t *testing.T) {
 		{workdir, "services", "push", "", platforms, secrets},
 		{workdir, "services-host-network", "push", "", platforms, secrets},
 		{workdir, "services-with-container", "push", "", platforms, secrets},
+
+		// local remote action overrides
+		{workdir, "local-remote-action-overrides", "push", "", platforms, secrets},
 	}
 
 	for _, table := range tables {
@@ -320,6 +330,22 @@ func TestRunEvent(t *testing.T) {
 				config.EventPath = eventFile
 			}
 
+			testConfigFile := filepath.Join(workdir, table.workflowPath, "config.yml")
+			if file, err := os.ReadFile(testConfigFile); err == nil {
+				testConfig := &TestConfig{}
+				if yaml.Unmarshal(file, testConfig) == nil {
+					if testConfig.LocalRepositories != nil {
+						config.ActionCache = &LocalRepositoryCache{
+							Parent: GoGitActionCache{
+								path.Clean(path.Join(workdir, "cache")),
+							},
+							LocalRepositories: testConfig.LocalRepositories,
+							CacheDirCache:     map[string]string{},
+						}
+					}
+				}
+			}
+
 			table.runTest(ctx, t, config)
 		})
 	}
diff --git a/pkg/runner/testdata/local-remote-action-overrides/config.yml b/pkg/runner/testdata/local-remote-action-overrides/config.yml
new file mode 100644
index 0000000..ecabeb5
--- /dev/null
+++ b/pkg/runner/testdata/local-remote-action-overrides/config.yml
@@ -0,0 +1,3 @@
+local-repositories:
+  https://github.com/nektos/test-override@a: testdata/actions/node20
+  nektos/test-override@b: testdata/actions/node16
\ No newline at end of file
diff --git a/pkg/runner/testdata/local-remote-action-overrides/push.yml b/pkg/runner/testdata/local-remote-action-overrides/push.yml
new file mode 100644
index 0000000..9482438
--- /dev/null
+++ b/pkg/runner/testdata/local-remote-action-overrides/push.yml
@@ -0,0 +1,9 @@
+name: basic
+on: push
+
+jobs:
+  build:
+    runs-on: ubuntu-latest
+    steps:
+      - uses: nektos/test-override@a
+      - uses: nektos/test-override@b
\ No newline at end of file