Congratulations on getting this far, especially after you were ‘away’ for some length of time
Inevitably, you are bound to have set the ignition at a retarded amount to which your machine was originally set. Whilst that is necessary, it really is a grey area (IMO) as to the extent required/necessary. The thing is - in the case of retarding the static ignition setting on a two stroke - ‘less’ is sometimes ‘more’ in the instance of a relatively standard Lambretta engine.
Bearing in mind that the principle reason for retardation will be due to the difference in the fuel we use nowadays, I reason that with an optimised engine, very little retardation is required to function well. Habitually, many of us Lambretta enthusiasts have a tendency to follow the herd, so will often apply a principle that will be best practice ‘& then some’….A prime example is squish. An engine rebuilt with first class, new components, specifically bottom end bearings, crankshaft & little end really should be extremely safe to run 1 mm squish with a centralised head to piston with profiled head profile with no ‘squash-able’ gaskets involved or extremely high RPM. The best race engines will run even less than 1 mm as the importance of heat transfer is an important factor in ensuring reliability.
Ignition was 23° BTDC when your engine was built & - much like yourself - a friend, returning to the fold, rebuilt an engine using that setting as he was oblivious to current thinking. In the event, his engine had what can best be described as a ‘sparkling’ performance for which it had no right, though it had a PWK carburettor & a mass produced expansion chamber of unknown origin. If memory serves, I think final setting was 19° BTDC. That’s only 2° allowing for the better fuel atomisation of the PWK & the better exhaust.
BTW I may be a dinosaur in many respects but I really do know the benefits of a good ignition set up & was using the race Motoplat -that advances prior to retarding - decades ago.
I reckon that many of us need to ‘unlearn’ some of the knowledge gained via car/four stroke ownership as different rules apply. Ignition is one example but compression ratio & primary compression are often subjects where old rules are applied….