Freak out to local funk (5)

I believe the answer is:

panic

I'm a little stuck... Click here to teach me more about this clue!

'funk' is the definition.
(thesaurus)

I don't understand the remainder of the clue.

(Other definitions for panic that I've seen before include "Sudden feeling of terror" , "Alarm, scare" , "Have kittens" , "Sudden overpowering fear" , "Greek god" .)

I've seen this clue in the Irish Times and the Irish Times (Crosaire).

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