The artist has donated the full amount of his £25k award cash to the trust for venues, which works to save the United Kingdom's independent concert spaces.
He was given the award on 16 October as his new release People Watching was chosen as the best record of the previous year.
The musician has decided to give the cash to the Music Venues Trust, in recognition of the vital role small stages played in his beginning days.
"As an artist wouldn't be doing my current career if it hadn't been for all the performances I performed around the area, and elsewhere, when I was starting out," said Fender. "These spaces are legendary, but they are facing challenges."
From early 2023 onward, at least 150 of these venues have shut down – roughly 16 percent of the entire UK sector.
In the last year, major artists like the band Pulp, the group Coldplay, Katy Perry and Sheeran have all supported the Music Venues Trust in its initiatives to support the industry, by including a modest fee to their ticket costs, which supports smaller concert halls.
Fender also joined in, generating more than £100,000 on his live tour to assist thirty-eight local spots across England, Scotland, and Wales.
The donation helped venues that were confronting imminent closure due to issues stemming from flooding, blazes and bereavements, as well as licensing issues, conflicts and noise complaints.
Other venues received funding support in modernizing facilities and technical equipment that helped musicians and concertgoers.
"The notion that money from shows in big venues supports the independent spots, where it kicks off for artists like me, is just logical," Sam Fender has commented.
Fender is among several artists to contribute his honor prize money to good deeds.
Back when Pulp earned the award in 1996 for their record Different Class, vocalist Jarvis Cocker stated that the band would donate their winnings to the charity War Child.
In 2002, musician the artist shared her award between several charities, including the NSPCC and a Sickle Cell charity.
"Additionally, I contributed a grand to my local community centre, to their classes, because I practiced gymnastics when I was younger and they lacked updated gear," she shared with outlets.
Previously, the band gave their winnings to the local youth club that nurtured their act, alongside other grassroots music organisations.
And the 1994 recipients they contributed their award to a charity for MS after a friend was found to have the illness.
"Receiving the award was ample," said artist the singer. "The cash was the extra but we didn't require the bonus, because we had the cake. So our success touched the lives of others."
Recently, the MVT revealed it had rescued several grassroots venues in that region, by bringing them into public stewardship.
The Joiners in Southampton and the other in Bristol were purchased under the Own Our Venues program, which is supported by the arts council and enthusiasts who acquire "ownership units" in the properties.