The star has donated the full amount of his £25k honor cash to the Music Venues Trust, which works to preserve the United Kingdom's independent music venues.
Fender was presented with the award on October 16 as his latest record People Watching was named the best record of the past year.
Fender has chosen to donate the funds to the trust, in recognition of the vital role grassroots venues played in his beginning days.
"I personally wouldn't be doing this success if it hadn't been for all the gigs I performed around the region, and elsewhere, when I was starting out," remarked Fender. "These spaces are renowned, but they are struggling."
From early 2023 onward, more than 150 of these locations have ceased operations – approximately 16 percent of the total UK scene.
Over the past year, top acts including the band Pulp, Coldplay, the singer Katy Perry and Ed Sheeran have all supported the trust in its initiatives to keep the scene afloat, by including a small levy to their ticket prices, which benefits smaller concert halls.
Sam Fender also took part, raising in excess of £100,000 on his live tour to help numerous small stages across Britain.
The money supported venues that were dealing with potential shutdown due to issues arising from floods, fires and family tragedies, as well as regulatory hurdles, legal disputes and sound issues.
Additional spaces received funding support in modernizing infrastructure and sound and lighting systems that helped artists and fans.
"The concept that revenue from shows in big venues helps the local stages, where it begins for musicians like me, is just logical," Sam Fender has said.
Fender is not the first artist to donate his honor winnings to worthy causes.
When the band received the prize in the mid-90s for their album Different Class, vocalist Jarvis Cocker declared that the act would contribute their cash to the charity War Child.
In 2002, rapper and singer Ms Dynamite shared her bounty between several good causes, including the NSPCC and a Sickle Cell organization.
"I also contributed a thousand pounds to the center, to their gymnastics class, because I trained in gymnastics when I was growing up and they lacked updated gear," she explained to outlets.
In recent years, Ezra Collective contributed their funds to the youth organization that nurtured their act, in addition to other grassroots music organisations.
And 1994 winners M People contributed their prize to a multiple sclerosis charity after a acquaintance was identified with the disease.
"The victory was ample," remarked artist Small. "The money was the extra but we didn't require the bonus, because we had the cake. So our success touched the lives of others."
Recently, the trust shared it had rescued a couple of local spots in south-east England, by placing them under public stewardship.
One venue in the city and the second in Bristol were purchased under the public acquisition scheme, which is supported by a national body and supporters who acquire "shares" in the buildings.
