Your engine spec is similar to mine although I did initially have high lift rockers as well. I bought my engine as a kit from Avonbar back in the early 90's and a suitable Aldon distributor was recommended, sadly I can't remember what spec it was although it might have been what they call a Red.
I really struggled with the idle speed, which I think is mainly caused by the cam. I had it set up on a rolling road and maxinum advance was set to around 34 degrees to give the most power which gave a figure of about 14 degrees at idle. I use the term idle loosely as it only just about did when the idle speed was set to about 1000rpm. I ended up leaving it about there and used to switch off with the car in gear with the clutch dragging a bit.
I found a couple of things helped, I changed back to standard rockers and locked the vacuum advance.
Back then you couldn't easily get the mappable ignition systems you can now so when I start using the engine in my Scamp I might get one to try.
Have you tried altering the timing carefully with the engine running ?