The artist has given the entirety of his £25,000 honor winnings to the MVT, which functions to protect the UK's small concert spaces.
Fender was presented with the award on October 16 as his new release People Watching was declared the outstanding release of the previous year.
He has decided to donate the funds to the Music Venues Trust, in acknowledgment of the essential function grassroots venues had in his early career.
"As an artist would not have achieved my current career if it wasn't for all the gigs I performed around the area, and beyond, when I was just getting going," said Fender. "These spaces are iconic, but they are in difficulty."
Since the start of 2023, at least 150 of these spaces have shut down – about one-sixth of the whole industry in the UK.
In the last year, major artists such as Pulp, Coldplay, Katy Perry and Ed Sheeran have all supported the trust in its attempts to keep the scene afloat, by adding a small levy to their ticket prices, which supports smaller concert halls.
He also took part, raising more than £100,000 on his 2024 arena tour to support 38 grassroots venues across the UK.
The donation assisted spaces that were facing imminent closure due to issues stemming from water damage, fire incidents and bereavements, as well as permit problems, conflicts and neighbor objections.
Additional spaces were granted monetary aid in upgrading infrastructure and technical equipment that directly benefitted artists and concertgoers.
"The idea that money from performances in big venues supports the independent spots, where it all starts for artists like me, is just logical," Sam Fender has commented.
Fender is far from the only musician to donate his award prize money to worthy causes.
When they earned the trophy in the year 1996 for their release Different Class, vocalist Cocker announced that the group would give their winnings to the non-profit War Child.
In 2002, musician the artist shared her award among several charities, including the NSPCC and a charity for Sickle Cell.
"And I gave a grand to my local community centre, to their classes, because I trained in gymnastics when I was growing up and they needed new equipment," Ms Dynamite explained to outlets.
In recent years, Ezra Collective donated their winnings to the community center that supported their act, as well as other local music groups.
And winners that year M People contributed their winnings to a MS organization after a close contact was identified with the disease.
"The victory was sufficient," stated vocalist the singer. "The cash was the extra but we didn't require the cherry, because we had the cake. So our winning touched the lives of others."
In the past week, the MVT revealed it had saved two grassroots venues in the South East, by placing them under public stewardship.
One venue in that area and The Croft in that location were bought under the community ownership initiative, which is supported by the arts council and enthusiasts who buy "ownership units" in the properties.