The star has donated the full amount of his twenty-five thousand pound honor winnings to the MVT, which operates to protect the UK's small live music spots.
He was given the award on October 16 as his new release People Watching was named the outstanding release of the past year.
The musician has decided to give the cash to the Music Venues Trust, in acknowledgment of the essential function grassroots venues played in his early career.
"I personally would not have achieved what I am doing today if it hadn't been for all the shows I did around the area, and beyond, when I was just getting going," said Sam Fender. "These locations are renowned, but they are in difficulty."
Beginning in 2023, over 150 of these spaces have permanently closed – about 16% of the whole industry in the UK.
In the last year, well-known musicians such as Pulp, Coldplay, the singer Katy Perry and Sheeran have all supported the Music Venues Trust in its attempts to keep the scene afloat, by applying a minor surcharge to their admission fees, which supports smaller concert halls.
Fender also participated, raising in excess of £100,000 on his live tour to help 38 local spots across Britain.
These funds assisted locations that were facing imminent closure due to challenges stemming from floods, blazes and family tragedies, as well as permit problems, legal disputes and sound issues.
Other venues were granted monetary aid in improving infrastructure and sound and lighting systems that directly benefitted performers and audiences.
"The notion that revenue from performances in big venues supports the smaller venues, where it all starts for performers like me, is just common sense," the star has commented.
Fender is not the first artist to donate his honor funds to good deeds.
When Pulp won the award in 1996 for their release the album, lead singer the singer announced that the band would contribute their prize money to the organization the charity.
In 2002, musician Ms Dynamite divided her bounty between several good causes, such as the NSPCC and a Sickle Cell charity.
"I also donated a £1,000 to Highgate Newtown, to their gymnastics program, because I did gymnastics when I was growing up and they lacked updated gear," Ms Dynamite shared with a publication.
Two years ago, Ezra Collective donated their prize money to the youth organization that supported their act, in addition to other local music groups.
Additionally the 1994 recipients M People donated their award to a MS organization after a close contact was identified with the disease.
"Receiving the award was ample," stated artist Heather Small. "The prize was the bonus but we didn't need the cherry, because we had the cake. So our success affected the lives of others."
In the past week, the Music Venues Trust shared it had rescued several local spots in south-east England, by bringing them into public stewardship.
The first in Southampton and the other in that location were purchased under the public acquisition program, which is funded by a national body and music fans who buy "shares" in the properties.
