The star has donated the complete sum of his £25k honor winnings to the trust for venues, which functions to save the UK's independent live music spots.
The star was awarded the award on October 16 as his latest record the album was named the best record of the previous year.
He has opted to donate the funds to the Music Venues Trust, in appreciation of the vital role small stages played in his early career.
"As an artist would not have achieved this success if it wasn't for all the shows I played around the North East, and further afield, when I was beginning," stated Fender. "These spaces are legendary, but they are in difficulty."
Since the start of 2023, at least 150 of these venues have shut down – approximately 16% of the whole industry in the UK.
Recently, major artists including Pulp, Coldplay, Katy Perry and Ed Sheeran have all aided the Music Venues Trust in its efforts to help venues survive, by applying a small levy to their admission fees, which benefits local stages.
Sam Fender also joined in, raising more than £100,000 on his live tour to assist 38 small stages across the UK.
The donation assisted venues that were confronting potential shutdown due to difficulties caused by floods, fire incidents and family tragedies, as well as regulatory hurdles, court cases and sound issues.
Some locations were granted monetary aid in upgrading amenities and sound and lighting systems that directly benefitted musicians and concertgoers.
"The notion that funds from concerts in large arenas supports the independent spots, where it begins for artists like me, is just common sense," Sam Fender has said.
The musician is far from the only musician to give his honor prize money to worthy causes.
In the band won the prize in the mid-90s for their album their work, frontman Jarvis Cocker stated that the act would donate their prize money to the non-profit War Child.
That year, rapper and singer she shared her prize among several organizations, like the NSPCC and a Sickle Cell organization.
"Additionally, I gave a thousand pounds to the center, to their gymnastics program, because I practiced gymnastics when I was younger and they required new equipment," the artist explained to outlets.
Previously, they contributed their funds to the local youth club that developed their act, alongside other grassroots music organisations.
Additionally 1994 winners the group gave their winnings to a charity for MS after a acquaintance was found to have the condition.
"Receiving the award was quite enough," stated vocalist Small. "The money was the bonus but we could do without the bonus, because we had the cake. So our success affected somebody else's life."
Last week, the MVT shared it had protected two grassroots venues in south-east England, by placing them under local control.
One venue in that area and the second in Bristol were acquired under the community ownership program, which is backed by Arts Council England and enthusiasts who purchase "ownership units" in the venues.