The star has given the complete sum of his £25k award cash to the trust for venues, which functions to protect the United Kingdom's independent music venues.
The star was awarded the prize on 16 October as his latest record the album was declared the best record of the previous year.
He has decided to donate the funds to the Music Venues Trust, in acknowledgment of the essential function local spots had in his initial steps.
"I wouldn't be doing what I am doing today if it hadn't been for all the performances I did around the North East, and elsewhere, when I was just getting going," remarked Fender. "These venues are legendary, but they are struggling."
From early 2023 onward, over 150 of these locations have permanently closed – approximately 16% of the whole industry in the UK.
Recently, major artists including the band Pulp, Coldplay, Katy Perry and Ed Sheeran have all supported the MVT in its initiatives to keep the scene afloat, by adding a minor surcharge to their admission fees, which supports local stages.
He also took part, generating more than £100,000 on his recent tour to support thirty-eight small stages across the UK.
The donation helped spaces that were facing potential shutdown due to issues arising from water damage, fires and family tragedies, as well as licensing issues, legal disputes and noise complaints.
Other venues were granted monetary aid in upgrading amenities and sound and lighting systems that helped performers and fans.
"The idea that funds from performances in large arenas backs the independent spots, where it begins for artists like me, is just logical," Sam Fender has said.
He is far from the only musician to give his honor winnings to worthy causes.
In Pulp earned the award in the mid-90s for their release their work, vocalist the singer announced that the act would contribute their cash to the non-profit the charity.
That year, rapper and singer the artist split her prize between multiple organizations, like the children's charity and a Sickle Cell organization.
"Additionally, I gave a £1,000 to Highgate Newtown, to their gymnastics program, because I trained in gymnastics when I was growing up and they lacked new equipment," she explained to the media.
In recent years, Ezra Collective donated their funds to the local youth club that supported their act, as well as other local music groups.
And 1994 winners the group contributed their winnings to a charity for MS after a friend was diagnosed the disease.
"Receiving the award was ample," said singer Heather Small. "The cash was the cherry on top but we could do without the cherry, because we had the honor. So our victory affected the lives of others."
Last week, the Music Venues Trust shared it had protected several grassroots venues in south-east England, by placing them under local control.
The Joiners in Southampton and the other in Bristol were bought under the community ownership initiative, which is supported by Arts Council England and enthusiasts who buy "stakes" in the properties.