The star has donated the complete sum of his £25k award cash to the MVT, which operates to protect the United Kingdom's small concert spaces.
Fender was presented with the award on October 16 as his new release People Watching was declared the top album of the past year.
He has opted to hand the money over to the MVT, in acknowledgment of the vital role local spots fulfilled in his beginning days.
"I couldn't be pursuing my current career if it weren't for all the performances I played around the area, and further afield, when I was just getting going," stated the artist. "These locations are renowned, but they are in difficulty."
Since the start of 2023, more than 150 of these spaces have permanently closed – approximately 16 percent of the total UK scene.
In the last year, major artists including Pulp, the group Coldplay, Katy Perry and Ed Sheeran have all backed the MVT in its attempts to keep the scene afloat, by applying a small levy to their admission fees, which supports smaller concert halls.
Sam Fender also joined in, generating over £100k on his recent tour to help numerous local spots across the UK.
The donation helped venues that were confronting possible closure due to challenges caused by flooding, fires and bereavements, as well as permit problems, court cases and neighbor objections.
Other venues obtained funding support in improving infrastructure and gear that helped artists and fans.
"The idea that money from concerts in large arenas helps the local stages, where it kicks off for musicians like me, is just common sense," Fender has said.
Fender is far from the only musician to give his honor funds to good deeds.
Back when they earned the award in 1996 for their record the album, vocalist Cocker stated that the group would give their prize money to the organization War Child.
During 2002, artist she shared her bounty between several charities, such as the NSPCC and a Sickle Cell organization.
"I also donated a £1,000 to the center, to their gymnastics program, because I practiced gymnastics when I was growing up and they needed new equipment," Ms Dynamite told outlets.
Previously, Ezra Collective contributed their winnings to the local youth club that supported their group, in addition to other grassroots music organisations.
And 1994 winners the group contributed their winnings to a charity for MS after a close contact was identified with the illness.
"Receiving the award was quite enough," said vocalist the singer. "The prize was the bonus but we could do without the extra, because we had the main prize. So our success impacted the lives of others."
Recently, the trust announced it had saved a couple of local spots in south-east England, by placing them under public stewardship.
One venue in Southampton and the other in Bristol were bought under the community ownership scheme, which is backed by a national body and supporters who acquire "stakes" in the venues.