The money will be available from 3 October and will be used to review and redesign social work delivery at a local level.
The £8.5m is part of the £79.9m funding allocated to CWDC to support social work reform earlier this year.
In March, Education Secretary Michael Gove wrote to CWDC chair Sir Paul Ennals saying that of the £79.9m, at least £43.9m was to be allocated to the Social Work Improvement Fund to help local authorities reduce pressure on frontline social workers; build capacity for reform; and develop recruitment and retention of social workers.
Children’s minister Tim Loughton said: "We want local areas to start adopting the new ways of working recommended in Professor Munro's review of child protection as soon as possible.
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