The star has donated the complete sum of his £25k award cash to the MVT, which works to protect the United Kingdom's small concert spaces.
Fender was awarded the prize on mid-October as his latest record his work was chosen as the outstanding release of the previous year.
Fender has opted to donate the funds to the Music Venues Trust, in recognition of the vital role local spots played in his early career.
"As an artist would not have achieved what I am doing today if it hadn't been for all the gigs I performed around the North East, and further afield, when I was starting out," said Sam Fender. "These spaces are iconic, but they are struggling."
Since the start of 2023, at least 150 of these locations have permanently closed – roughly one-sixth of the total UK scene.
Over the past year, well-known musicians such as Pulp, Coldplay, Katy Perry and Sheeran have all supported the MVT in its initiatives to keep the scene afloat, by adding a small levy to their ticket prices, which goes to help smaller concert halls.
Sam Fender also participated, collecting over £100k on his 2024 arena tour to assist 38 local spots across the UK.
These funds supported locations that were confronting imminent closure due to challenges caused by flooding, blazes and personal losses, as well as licensing issues, conflicts and noise complaints.
Some locations were granted monetary aid in upgrading infrastructure and technical equipment that directly benefitted artists and fans.
"The concept that revenue from performances in large arenas backs the local stages, where it begins for performers like me, is just sensible," Sam Fender has stated.
He is among several artists to donate his honor funds to charitable organizations.
Back when the band received the award in the mid-90s for their record their work, vocalist Jarvis Cocker declared that the band would contribute their prize money to the non-profit War Child.
In 2002, rapper and singer she divided her bounty among multiple good causes, like the NSPCC and a Sickle Cell organization.
"I also contributed a grand to the center, to their gymnastics class, because I trained in gymnastics when I was growing up and they needed new equipment," Ms Dynamite told the media.
Previously, Ezra Collective contributed their funds to the local youth club that nurtured their group, alongside other independent music bodies.
And 1994 winners M People gave their winnings to a multiple sclerosis charity after a acquaintance was identified with the disease.
"Winning was ample," remarked artist Heather Small. "The money was the cherry on top but we didn't need the cherry, because we had the main prize. So our winning touched somebody else's life."
In the past week, the trust announced it had rescued two local spots in south-east England, by transferring them to local control.
The Joiners in that area and the other in Bristol were acquired under the Own Our Venues program, which is backed by Arts Council England and music fans who acquire "ownership units" in the buildings.