The artist has donated the entirety of his £25,000 award cash to the MVT, which works to preserve the UK's grassroots live music spots.
He was awarded the prize on 16 October as his new release People Watching was declared the outstanding release of the past year.
The musician has opted to donate the funds to the Music Venues Trust, in recognition of the crucial part local spots played in his early career.
"As an artist couldn't be pursuing this success if it weren't for all the shows I did around the North East, and elsewhere, when I was just getting going," stated Fender. "These venues are iconic, but they are in difficulty."
Beginning in 2023, at least 150 of these spaces have permanently closed – about 16 percent of the total UK scene.
In the last year, major artists such as Pulp, Coldplay, Katy Perry and Ed Sheeran have all supported the Music Venues Trust in its efforts to keep the scene afloat, by including a small levy to their ticket costs, which supports independent venues.
Fender also participated, generating more than £100,000 on his 2024 arena tour to assist 38 small stages across Britain.
These funds supported locations that were facing imminent closure due to challenges arising from floods, fire incidents and bereavements, as well as regulatory hurdles, legal disputes and noise complaints.
Other venues obtained monetary aid in upgrading amenities and gear that helped performers and concertgoers.
"The notion that revenue from performances in large arenas backs the independent spots, where it begins for performers like me, is just logical," Sam Fender has stated.
The musician is not the first artist to contribute his award winnings to good deeds.
Back when they earned the prize in the year 1996 for their album the album, lead singer the singer announced that the act would donate their prize money to the non-profit War Child.
That year, rapper and singer Ms Dynamite split her prize among multiple charities, such as the NSPCC and a Sickle Cell charity.
"And I gave a thousand pounds to my local community centre, to their gymnastics class, because I trained in gymnastics when I was younger and they needed better apparatus," she explained to the media.
In recent years, they donated their prize money to the youth organization that nurtured their band, in addition to other local music groups.
Also 1994 winners they contributed their winnings to a charity for MS after a acquaintance was identified with the condition.
"Receiving the award was sufficient," said vocalist Heather Small. "The money was the extra but we didn't need the cherry, because we had the main prize. So our victory impacted the lives of others."
Recently, the MVT shared it had rescued several local spots in that region, by transferring them to community ownership.
The Joiners in the city and the second in Bristol were acquired under the community ownership scheme, which is backed by the arts council and enthusiasts who purchase "ownership units" in the venues.
