The star has given the full amount of his £25k honor cash to the Music Venues Trust, which works to protect the UK's small music venues.
Fender was presented with the award on October 16 as his third album his work was declared the best record of the previous year.
He has chosen to hand the money over to the trust, in acknowledgment of the vital role small stages had in his early career.
"I personally couldn't be pursuing this success if it wasn't for all the shows I played around the region, and elsewhere, when I was starting out," said the artist. "These venues are renowned, but they are in difficulty."
Since the start of 2023, at least 150 of these spaces have ceased operations – approximately 16 percent of the whole industry in the UK.
In the last year, top acts such as the band Pulp, Coldplay, Katy Perry and Ed Sheeran have all supported the Music Venues Trust in its initiatives to support the industry, by adding a minor surcharge to their ticket prices, which supports local stages.
He also participated, raising in excess of £100,000 on his 2024 arena tour to support 38 grassroots venues across Britain.
These funds helped venues that were dealing with potential shutdown due to difficulties arising from floods, fire incidents and family tragedies, as well as licensing issues, court cases and sound issues.
Additional spaces obtained monetary aid in modernizing facilities and technical equipment that directly benefitted musicians and fans.
"The idea that revenue from shows in big venues helps the independent spots, where it begins for artists like me, is just common sense," Sam Fender has said.
Fender is far from the only musician to give his honor funds to charitable organizations.
In Pulp won the trophy in the year 1996 for their album their work, lead singer Cocker stated that the group would give their winnings to the non-profit War Child.
During 2002, musician Ms Dynamite divided her bounty among multiple organizations, including the NSPCC and a Sickle Cell organization.
"Additionally, I contributed a £1,000 to the center, to their gymnastics class, because I trained in gymnastics when I was growing up and they needed updated gear," Ms Dynamite explained to a publication.
Two years ago, Ezra Collective contributed their prize money to the community center that developed their act, as well as other local music groups.
And winners that year the group donated their prize to a multiple sclerosis charity after a close contact was diagnosed the condition.
"The victory was ample," stated artist Small. "The money was the cherry on top but we could do without the bonus, because we had the cake. So our success affected another person's life."
Last week, the Music Venues Trust revealed it had saved two grassroots venues in the South East, by transferring them to local control.
One venue in that area and the other in the city were bought under the Own Our Venues initiative, which is supported by a national body and music fans who purchase "stakes" in the venues.
