The artist has donated the complete sum of his £25,000 award cash to the Music Venues Trust, which functions to protect the Britain's independent music venues.
The star was presented with the prize on 16 October as his third album People Watching was declared the outstanding release of the past year.
The musician has opted to give the cash to the trust, in recognition of the vital role small stages fulfilled in his beginning days.
"As an artist wouldn't be doing my current career if it weren't for all the shows I did around the area, and beyond, when I was just getting going," said Fender. "These locations are renowned, but they are in difficulty."
From early 2023 onward, more than 150 of these spaces have shut down – roughly 16% of the entire UK sector.
In the last year, well-known musicians such as the band Pulp, the group Coldplay, Katy Perry and Ed Sheeran have all aided the trust in its efforts to help venues survive, by adding a small levy to their admission fees, which supports independent venues.
Sam Fender also joined in, raising over £100k on his live tour to support numerous local spots across England, Scotland, and Wales.
These funds supported locations that were facing imminent closure due to challenges stemming from water damage, blazes and family tragedies, as well as licensing issues, conflicts and neighbor objections.
Some locations received monetary aid in improving facilities and gear that helped artists and audiences.
"The concept that revenue from shows in big venues helps the independent spots, where it all starts for performers like me, is just common sense," the star has stated.
Fender is among several artists to give his honor funds to charitable organizations.
When the band earned the award in the mid-90s for their record the album, frontman Jarvis Cocker declared that the act would give their prize money to the charity War Child.
In 2002, rapper and singer the artist split her prize across a few good causes, including the NSPCC and a Sickle Cell charity.
"Additionally, I gave a £1,000 to Highgate Newtown, to their classes, because I trained in gymnastics when I was growing up and they needed new equipment," Ms Dynamite explained to outlets.
Previously, the band contributed their funds to the local youth club that developed their group, alongside other independent music bodies.
And the 1994 recipients the group gave their prize to a MS organization after a friend was diagnosed the disease.
"The victory was sufficient," said artist Small. "The money was the extra but we could do without the bonus, because we had the main prize. So our victory affected the lives of others."
Last week, the trust shared it had saved a couple of local spots in that region, by transferring them to community ownership.
The first in Southampton and the other in that location were acquired under the Own Our Venues initiative, which is funded by a national body and music fans who acquire "ownership units" in the properties.
