The star has donated the full amount of his £25,000 honor prize money to the Music Venues Trust, which works to preserve the UK's small concert spaces.
Fender was given the award on 16 October as his latest record the album was named the best record of the past year.
He has opted to donate the funds to the Music Venues Trust, in appreciation of the crucial part local spots had in his early career.
"I couldn't be pursuing what I am doing today if it wasn't for all the performances I did around the area, and beyond, when I was starting out," stated Fender. "These venues are iconic, but they are in difficulty."
Beginning in 2023, more than 150 of these venues have ceased operations – about 16% of the total UK scene.
In the last year, well-known musicians like Pulp, the group Coldplay, the singer Katy Perry and Sheeran have all aided the MVT in its efforts to keep the scene afloat, by including a small levy to their admission fees, which benefits smaller concert halls.
Sam Fender also joined in, collecting in excess of £100,000 on his 2024 arena tour to help numerous grassroots venues across the UK.
These funds supported locations that were confronting possible closure due to difficulties stemming from flooding, fire incidents and bereavements, as well as licensing issues, conflicts and neighbor objections.
Some locations were granted funding support in improving amenities and gear that positively impacted performers and fans.
"The idea that revenue from shows in big venues supports the smaller venues, where it kicks off for artists like me, is just common sense," Fender has stated.
He is not the first artist to donate his award winnings to good deeds.
In Pulp earned the trophy in the year 1996 for their record Different Class, lead singer the singer declared that the group would donate their prize money to the non-profit War Child.
That year, musician she split her bounty among a few charities, including the NSPCC and a charity for Sickle Cell.
"And I donated a grand to the center, to their gymnastics class, because I trained in gymnastics when I was younger and they lacked updated gear," the artist explained to outlets.
Previously, Ezra Collective gave their winnings to the community center that nurtured their group, as well as other grassroots music organisations.
And the 1994 recipients the group gave their prize to a MS organization after a friend was diagnosed the condition.
"Winning was sufficient," remarked artist Heather Small. "The prize was the cherry on top but we didn't require the extra, because we had the main prize. So our success impacted somebody else's life."
In the past week, the MVT revealed it had rescued two grassroots venues in south-east England, by transferring them to community ownership.
One venue in Southampton and the other in the city were acquired under the Own Our Venues initiative, which is funded by Arts Council England and enthusiasts who buy "shares" in the venues.