The star has handed over the full amount of his £25k award winnings to the trust for venues, which operates to save the UK's small music venues.
He was given the award on 16 October as his new release his work was declared the best record of the previous year.
He has decided to give the cash to the Music Venues Trust, in recognition of the crucial part grassroots venues played in his beginning days.
"I personally wouldn't be doing what I am doing today if it hadn't been for all the shows I performed around the region, and elsewhere, when I was starting out," remarked Sam Fender. "These spaces are iconic, but they are in difficulty."
From early 2023 onward, more than 150 of these venues have ceased operations – about one-sixth of the total UK scene.
Over the past year, well-known musicians including Pulp, Coldplay, Katy Perry and Ed Sheeran have all aided the trust in its efforts to keep the scene afloat, by adding a modest fee to their ticket prices, which goes to help independent venues.
He also participated, collecting more than £100,000 on his live tour to assist thirty-eight local spots across Britain.
The donation helped spaces that were confronting imminent closure due to issues stemming from floods, blazes and personal losses, as well as permit problems, conflicts and sound issues.
Additional spaces were granted funding support in upgrading amenities and sound and lighting systems that helped performers and concertgoers.
"The notion that revenue from concerts in major spaces backs the independent spots, where it begins for artists like me, is just logical," Fender has stated.
Fender is not the first artist to give his award prize money to worthy causes.
When the band earned the prize in the year 1996 for their record the album, lead singer Cocker declared that the act would donate their winnings to the charity War Child.
That year, rapper and singer Ms Dynamite split her bounty among multiple organizations, including the children's charity and a Sickle Cell organization.
"And I gave a £1,000 to my local community centre, to their classes, because I trained in gymnastics when I was younger and they lacked updated gear," the artist told a publication.
Previously, they contributed their funds to the local youth club that developed their group, alongside other local music groups.
Additionally winners that year they donated their winnings to a charity for MS after a acquaintance was found to have the illness.
"Winning was quite enough," remarked artist the singer. "The prize was the bonus but we didn't need the cherry, because we had the honor. So our winning impacted somebody else's life."
Recently, the Music Venues Trust revealed it had rescued several small stages in south-east England, by placing them under public stewardship.
One venue in Southampton and the second in that location were acquired under the public acquisition program, which is backed by a national body and supporters who acquire "shares" in the venues.