Speaking at the Sports Council's 'First Awards' ceremony at the Commonwealth Institute in London, Mr Dorrell said:
'Our country is about to be transformed by the National Lottery. Today's awards by the Sports Councils in England and Scotland are the start. Over the coming months, hundreds of schemes up and down the country will go ahead, made possible by lottery money.
'The British public's clear enthusiasm for playing the National Lottery will now be translated into a huge dividend of improved sporting and cultural facilities.
'Smaller grants are just as important. Indeed, today's largest award of £750,000 has gone to the Arthur Terry School in Sutton Coldfield to provide new and upgraded sports facilities for their pupils and the local community.
'National Lottery funds will enable local sports clubs and other organisations with limited funds to provide much needed new facilities and equipment for their members, and perhaps train tomorrow's sporting superstars.
'Over the coming weeks there will be further awards for the arts and heritage from the £1/4bn already raised by the Lottery for good causes. I hope that others will be inspired to come forward with ideas for how their community can benefit from a project funded by the National Lottery.'