The artist has handed over the full amount of his £25k award winnings to the Music Venues Trust, which works to preserve the UK's small music venues.
The star was awarded the cheque on 16 October as his third album People Watching was chosen as the best record of the previous year.
Fender has opted to donate the funds to the Music Venues Trust, in appreciation of the vital role local spots had in his early career.
"I personally couldn't be pursuing what I am doing today if it weren't for all the performances I did around the North East, and elsewhere, when I was beginning," said Sam Fender. "These spaces are legendary, but they are in difficulty."
Since the start of 2023, over 150 of these venues have permanently closed – roughly one-sixth of the whole industry in the UK.
Recently, major artists like Pulp, Coldplay, Katy Perry and Ed Sheeran have all supported the trust in its attempts to help venues survive, by including a small levy to their ticket costs, which supports independent venues.
Sam Fender also joined in, raising more than £100,000 on his 2024 arena tour to support numerous grassroots venues across Britain.
The donation assisted venues that were dealing with potential shutdown due to difficulties stemming from flooding, blazes and family tragedies, as well as permit problems, court cases and noise complaints.
Additional spaces obtained funding support in upgrading amenities and technical equipment that helped performers and audiences.
"The concept that funds from concerts in large arenas helps the local stages, where it all starts for musicians like me, is just logical," the star has said.
The musician is among several artists to contribute his award prize money to worthy causes.
Back when Pulp earned the prize in the mid-90s for their release the album, vocalist Jarvis Cocker stated that the band would donate their prize money to the organization War Child.
In 2002, musician the artist shared her award between a few charities, including the NSPCC and a Sickle Cell organization.
"And I contributed a thousand pounds to the center, to their gymnastics class, because I practiced gymnastics when I was younger and they required better apparatus," she explained to the media.
In recent years, Ezra Collective donated their funds to the local youth club that developed their act, in addition to other independent music bodies.
Additionally the 1994 recipients the group contributed their prize to a MS organization after a close contact was diagnosed the disease.
"Winning was quite enough," stated artist Heather Small. "The prize was the bonus but we could do without the cherry, because we had the cake. So our victory impacted the lives of others."
Last week, the MVT announced it had saved a couple of grassroots venues in the South East, by bringing them into public stewardship.
One venue in that area and The Croft in that location were purchased under the community ownership initiative, which is supported by a national body and music fans who buy "ownership units" in the venues.