Can not get localscroll to work for me!

Can not get localscroll to work for me!

I am new to jquery/javascript and finding myself frustrated that I cannot pinpoint where I am going wrong.

I have a html webpage, (simplified code below) with a link and anchor;

Link - <ul type=none 
<li><a href="#bookmark2" STYLE="TEXT-DECORATION: NONE"onMouseOver="show4()" onMouseOut="hide4();"<div id="img4" </div</a 
><div><font style="font-size:27px" color="#FFFFFF" face="Broadway">ROOMS</font></div> </li></ul>

Anchor - <a name="bookmark2" &nbsp;</a>

This works as expected, when i click the link the page jumps to the anchor position. I am trying to use scrollto to animate the scroll so I have between <head> and </head> -  
<script src="http://code.jquery.com/jquery-latest.js"></script>
<script src="/jquery.scrollTo-1.4.3.1.js"></script>
<script src="/jquery.localscroll-1.2.7-min.js"></script>

and before </body>
<script type="text/javascript">
$(document).ready(function(){
$('#bookmark2').localScroll({
   axis:'xy',
});
}
</script>

I am desperately trying to identify what I am missing/have done wrong that means I simply get the "jump" to the anchor and not the nice smooth scroll I am looking for. I'm interested in identifying my mistake so I can improve my knowledge and would really appreciate some help