The artist has donated the full amount of his £25k award cash to the trust for venues, which operates to protect the United Kingdom's grassroots concert spaces.
He was given the award on mid-October as his latest record his work was declared the outstanding release of the previous year.
He has chosen to give the cash to the Music Venues Trust, in appreciation of the essential function grassroots venues played in his early career.
"I would not have achieved my current career if it hadn't been for all the gigs I performed around the North East, and elsewhere, when I was beginning," said Sam Fender. "These venues are iconic, but they are facing challenges."
Beginning in 2023, at least 150 of these venues have ceased operations – roughly one-sixth of the total UK scene.
Over the past year, well-known musicians such as the band Pulp, Coldplay, Katy Perry and Ed Sheeran have all aided the trust in its attempts to keep the scene afloat, by including a small levy to their admission fees, which benefits local stages.
Fender also took part, collecting over £100k on his recent tour to help 38 local spots across the UK.
The money assisted venues that were confronting potential shutdown due to challenges arising from flooding, blazes and personal losses, as well as regulatory hurdles, conflicts and sound issues.
Some locations obtained financial assistance in modernizing facilities and technical equipment that directly benefitted performers and fans.
"The notion that funds from concerts in big venues backs the smaller venues, where it begins for musicians like me, is just common sense," Fender has said.
He is among several artists to contribute his award funds to charitable organizations.
In Pulp earned the prize in the year 1996 for their release Different Class, frontman the singer announced that the band would give their prize money to the charity War Child.
In 2002, artist she shared her award among a few good causes, including the NSPCC and a Sickle Cell organization.
"I also donated a £1,000 to my local community centre, to their classes, because I trained in gymnastics when I was growing up and they needed better apparatus," she explained to outlets.
In recent years, the band contributed their winnings to the community center that supported their band, in addition to other grassroots music organisations.
And winners that year they contributed their prize to a multiple sclerosis charity after a friend was identified with the condition.
"Receiving the award was ample," stated artist Small. "The prize was the extra but we didn't require the extra, because we had the main prize. So our success affected another person's life."
Recently, the MVT announced it had rescued several small stages in south-east England, by placing them under local control.
The Joiners in that area and the other in Bristol were bought under the Own Our Venues initiative, which is backed by the arts council and music fans who acquire "ownership units" in the venues.