The star has donated the entirety of his £25,000 award cash to the Music Venues Trust, which functions to protect the UK's independent music venues.
The star was given the award on mid-October as his latest record People Watching was declared the top album of the past year.
Fender has decided to hand the money over to the Music Venues Trust, in recognition of the vital role grassroots venues played in his early career.
"As an artist wouldn't be doing what I am doing today if it weren't for all the performances I played around the area, and further afield, when I was just getting going," said Sam Fender. "These spaces are legendary, but they are struggling."
From early 2023 onward, at least 150 of these spaces have ceased operations – roughly one-sixth of the total UK scene.
Over the past year, well-known musicians like Pulp, the group Coldplay, Katy Perry and Sheeran have all supported the MVT in its attempts to help venues survive, by applying a small levy to their ticket prices, which supports independent venues.
Fender also participated, generating in excess of £100,000 on his live tour to help 38 local spots across the UK.
The money assisted venues that were dealing with imminent closure due to challenges arising from water damage, fire incidents and personal losses, as well as permit problems, court cases and noise complaints.
Additional spaces were granted funding support in improving amenities and sound and lighting systems that positively impacted musicians and concertgoers.
"The notion that revenue from concerts in major spaces backs the local stages, where it begins for artists like me, is just logical," the star has commented.
Fender is among several artists to contribute his award winnings to good deeds.
When Pulp won the prize in the mid-90s for their record the album, lead singer Cocker declared that the band would contribute their winnings to the non-profit the charity.
In 2002, musician she divided her prize between a few organizations, such as the NSPCC and a Sickle Cell charity.
"Additionally, I gave a £1,000 to the center, to their classes, because I did gymnastics when I was growing up and they needed updated gear," Ms Dynamite explained to the media.
Previously, they gave their winnings to the youth organization that nurtured their band, as well as other independent music bodies.
Also 1994 winners the group donated their prize to a MS organization after a acquaintance was diagnosed the condition.
"Winning was quite enough," stated vocalist Heather Small. "The cash was the bonus but we didn't require the bonus, because we had the cake. So our success impacted another person's life."
Recently, the Music Venues Trust shared it had protected a couple of local spots in that region, by bringing them into public stewardship.
The first in Southampton and the second in Bristol were bought under the Own Our Venues initiative, which is backed by Arts Council England and music fans who acquire "stakes" in the buildings.
