The star has donated the entirety of his £25k award cash to the Music Venues Trust, which works to save the Britain's grassroots live music spots.
He was given the prize on 16 October as his new release People Watching was declared the outstanding release of the last 12 months.
Fender has decided to give the cash to the trust, in acknowledgment of the vital role small stages fulfilled in his initial steps.
"I personally wouldn't be doing my current career if it weren't for all the gigs I played around the area, and elsewhere, when I was beginning," said Sam Fender. "These locations are iconic, but they are struggling."
Beginning in 2023, over 150 of these locations have ceased operations – about 16% of the whole industry in the UK.
Over the past year, well-known musicians like Pulp, Coldplay, Katy Perry and Ed Sheeran have all supported the MVT in its efforts to support the industry, by applying a small levy to their ticket costs, which supports independent venues.
Fender also took part, raising in excess of £100,000 on his recent tour to support thirty-eight grassroots venues across Britain.
These funds supported locations that were confronting potential shutdown due to issues arising from floods, blazes and family tragedies, as well as permit problems, court cases and noise complaints.
Some locations received monetary aid in improving infrastructure and technical equipment that directly benefitted musicians and fans.
"The idea that money from concerts in major spaces helps the independent spots, where it kicks off for musicians like me, is just common sense," the star has stated.
The musician is among several artists to donate his award prize money to worthy causes.
Back when the band earned the award in the year 1996 for their release Different Class, lead singer Jarvis Cocker announced that the band would contribute their prize money to the non-profit the charity.
During 2002, artist Ms Dynamite split her bounty among multiple charities, including the NSPCC and a charity for Sickle Cell.
"Additionally, I gave a £1,000 to the center, to their classes, because I did gymnastics when I was younger and they needed updated gear," the artist told the media.
Two years ago, they donated their prize money to the local youth club that nurtured their group, in addition to other independent music bodies.
And 1994 winners M People contributed their award to a charity for MS after a acquaintance was found to have the disease.
"Winning was quite enough," said artist Small. "The cash was the bonus but we didn't require the bonus, because we had the cake. So our winning touched the lives of others."
Last week, the MVT announced it had rescued several grassroots venues in the South East, by placing them under community ownership.
The Joiners in that area and the second in the city were bought under the public acquisition initiative, which is funded by a national body and supporters who acquire "stakes" in the properties.