The artist has handed over the complete sum of his twenty-five thousand pound award winnings to the Music Venues Trust, which functions to protect the United Kingdom's small concert spaces.
Fender was awarded the prize on October 16 as his new release his work was chosen as the best record of the last 12 months.
The musician has decided to hand the money over to the trust, in recognition of the vital role grassroots venues fulfilled in his initial steps.
"As an artist couldn't be pursuing my current career if it wasn't for all the performances I played around the region, and beyond, when I was starting out," remarked Fender. "These spaces are legendary, but they are in difficulty."
From early 2023 onward, more than 150 of these locations have shut down – roughly 16% of the total UK scene.
Over the past year, well-known musicians such as the band Pulp, the group Coldplay, the singer Katy Perry and Sheeran have all aided the MVT in its attempts to support the industry, by adding a modest fee to their ticket costs, which supports independent venues.
Sam Fender also took part, raising over £100k on his recent tour to support 38 grassroots venues across the UK.
The money helped spaces that were dealing with potential shutdown due to difficulties arising from water damage, fires and family tragedies, as well as regulatory hurdles, legal disputes and noise complaints.
Other venues received funding support in upgrading infrastructure and gear that helped artists and audiences.
"The notion that revenue from shows in large arenas helps the independent spots, where it kicks off for performers like me, is just common sense," the star has said.
The musician is far from the only musician to contribute his honor winnings to worthy causes.
In Pulp received the award in 1996 for their release Different Class, frontman Cocker declared that the act would give their prize money to the non-profit the charity.
In 2002, musician she split her bounty across a few charities, such as the NSPCC and a charity for Sickle Cell.
"I also gave a grand to Highgate Newtown, to their gymnastics program, because I practiced gymnastics when I was a child and they needed updated gear," Ms Dynamite explained to a publication.
Two years ago, the band gave their winnings to the local youth club that nurtured their band, in addition to other grassroots music organisations.
Also 1994 winners M People donated their prize to a MS organization after a friend was diagnosed the disease.
"Receiving the award was sufficient," stated vocalist the singer. "The cash was the cherry on top but we didn't need the extra, because we had the main prize. So our success affected another person's life."
In the past week, the MVT shared it had saved several grassroots venues in south-east England, by placing them under community ownership.
The Joiners in the city and the second in the city were bought under the public acquisition scheme, which is supported by Arts Council England and enthusiasts who buy "stakes" in the buildings.
