The star has handed over the complete sum of his £25,000 award cash to the Music Venues Trust, which operates to preserve the Britain's grassroots music venues.
He was awarded the prize on 16 October as his new release People Watching was declared the outstanding release of the previous year.
Fender has chosen to hand the money over to the MVT, in appreciation of the essential function local spots played in his initial steps.
"I wouldn't be doing this success if it wasn't for all the performances I performed around the region, and elsewhere, when I was starting out," said the artist. "These locations are renowned, but they are in difficulty."
Since the start of 2023, over 150 of these spaces have ceased operations – about 16 percent of the entire UK sector.
Over the past year, well-known musicians such as Pulp, the group Coldplay, Katy Perry and Ed Sheeran have all backed the MVT in its efforts to help venues survive, by including a small levy to their admission fees, which benefits local stages.
Sam Fender also took part, collecting in excess of £100,000 on his 2024 arena tour to support numerous local spots across the UK.
The donation assisted locations that were confronting imminent closure due to difficulties stemming from water damage, fires and bereavements, as well as regulatory hurdles, legal disputes and sound issues.
Additional spaces obtained monetary aid in upgrading infrastructure and technical equipment that positively impacted musicians and concertgoers.
"The notion that funds from performances in big venues supports the independent spots, where it kicks off for performers like me, is just common sense," the star has said.
Fender is among several artists to donate his award funds to worthy causes.
When they earned the trophy in the year 1996 for their record Different Class, lead singer Jarvis Cocker announced that the band would contribute their prize money to the non-profit War Child.
In 2002, musician Ms Dynamite divided her bounty across multiple organizations, including the children's charity and a Sickle Cell organization.
"And I gave a grand to the center, to their gymnastics class, because I did gymnastics when I was growing up and they required updated gear," Ms Dynamite explained to a publication.
Previously, they contributed their funds to the local youth club that supported their group, alongside other local music groups.
Additionally 1994 winners they donated their winnings to a multiple sclerosis charity after a close contact was found to have the condition.
"Winning was ample," said vocalist Heather Small. "The money was the extra but we could do without the cherry, because we had the main prize. So our success affected somebody else's life."
Recently, the MVT announced it had protected several local spots in that region, by bringing them into community ownership.
One venue in Southampton and The Croft in Bristol were purchased under the public acquisition scheme, which is funded by a national body and music fans who acquire "stakes" in the properties.
