A NEW National Lottery fund should work with local authorities to distribute money, according to North Yorkshire County Council.

The Big Lottery Fund (BLF) has been set up to distribute money previously given out by the New Opportunities Fund and the Community Fund.

The National Lottery estimated the BLF will be worth nationally between £600m and £700m a year until 2009.

Gordon Gresty, director of business and community services for the council council, said the money should fund organisations that provide training, support and advice to smaller community groups.

He also said grants of between £5,000 and £25,000 should be given to enable a range of community projects to benefit.

He said: "We are stressing that to appreciate and understand the needs of communities, the BLF needs to work more closely at a sub-regional level, for example with the county council."