The artist has handed over the complete sum of his £25,000 honor cash to the MVT, which operates to save the Britain's small music venues.
The star was given the prize on mid-October as his latest record People Watching was declared the best record of the previous year.
The musician has chosen to donate the funds to the trust, in acknowledgment of the vital role grassroots venues fulfilled in his early career.
"As an artist couldn't be pursuing this success if it hadn't been for all the gigs I did around the North East, and elsewhere, when I was beginning," remarked Sam Fender. "These spaces are legendary, but they are facing challenges."
From early 2023 onward, more than 150 of these spaces have permanently closed – approximately 16 percent of the entire UK sector.
Recently, major artists including Pulp, Coldplay, the singer Katy Perry and Ed Sheeran have all backed the trust in its attempts to help venues survive, by applying a small levy to their ticket prices, which supports smaller concert halls.
Fender also participated, generating in excess of £100,000 on his live tour to support 38 small stages across England, Scotland, and Wales.
These funds supported locations that were dealing with potential shutdown due to difficulties arising from water damage, fire incidents and bereavements, as well as permit problems, court cases and sound issues.
Some locations received financial assistance in upgrading facilities and technical equipment that positively impacted musicians and audiences.
"The concept that money from performances in big venues backs the smaller venues, where it begins for performers like me, is just common sense," the star has said.
Fender is far from the only musician to give his honor prize money to worthy causes.
In Pulp received the trophy in the year 1996 for their release their work, frontman Jarvis Cocker announced that the group would donate their winnings to the non-profit War Child.
In 2002, artist Ms Dynamite divided her bounty across a few charities, including the NSPCC and a charity for Sickle Cell.
"Additionally, I gave a £1,000 to Highgate Newtown, to their gymnastics program, because I practiced gymnastics when I was a child and they needed updated gear," the artist shared with outlets.
Two years ago, Ezra Collective gave their winnings to the local youth club that nurtured their act, in addition to other local music groups.
Also winners that year M People contributed their winnings to a multiple sclerosis charity after a close contact was diagnosed the condition.
"Receiving the award was ample," said singer Heather Small. "The prize was the bonus but we could do without the cherry, because we had the honor. So our victory affected the lives of others."
Recently, the MVT shared it had rescued two small stages in that region, by bringing them into local control.
The first in that area and the other in that location were purchased under the Own Our Venues program, which is backed by a national body and supporters who buy "shares" in the venues.