National Lottery grant distributors, including the Big Lottery Fund and Arts Council England (ACE), have been asked by Lottery minister John Penrose to keep administration costs for the money they hand out to just 5%. The distributors receive about £1.4bn a year between them to give out as grants, and currently spend about 6.5% on grant administration costs. Penrose argues that best practice in comparable charities keeps admin costs to about 5%, and asks Lottery distributors to match this. They have also been asked to cap total running costs – including research, technical support and public involvement in grant decisions – to 8% in line with charities carrying out similar activities. The Heritage Lottery Fund will have until March 2013 to reduce its costs, while the Big Lottery Fund and ACE will have until March 2014, to allow for other reforms which involve changes to their income and reorganisation.