The star has donated the entirety of his £25k honor cash to the MVT, which works to preserve the Britain's small concert spaces.
Fender was awarded the prize on 16 October as his third album People Watching was chosen as the outstanding release of the past year.
He has opted to donate the funds to the trust, in acknowledgment of the crucial part grassroots venues fulfilled in his beginning days.
"I personally wouldn't be doing what I am doing today if it hadn't been for all the gigs I performed around the North East, and beyond, when I was starting out," said Fender. "These spaces are legendary, but they are in difficulty."
Beginning in 2023, at least 150 of these locations have ceased operations – about 16% of the whole industry in the UK.
Recently, top acts such as the band Pulp, Coldplay, the singer Katy Perry and Ed Sheeran have all backed the Music Venues Trust in its attempts to support the industry, by adding a small levy to their admission fees, which benefits smaller concert halls.
Sam Fender also participated, generating in excess of £100,000 on his 2024 arena tour to assist thirty-eight grassroots venues across Britain.
The donation supported spaces that were dealing with possible closure due to issues caused by floods, blazes and personal losses, as well as permit problems, court cases and sound issues.
Some locations were granted funding support in improving amenities and technical equipment that helped artists and concertgoers.
"The concept that funds from performances in big venues supports the independent spots, where it kicks off for artists like me, is just common sense," Fender has stated.
He is not the first artist to contribute his honor prize money to good deeds.
In they received the prize in 1996 for their record Different Class, lead singer the singer announced that the band would donate their winnings to the non-profit War Child.
During 2002, musician Ms Dynamite shared her prize between multiple charities, such as the children's charity and a charity for Sickle Cell.
"Additionally, I gave a grand to the center, to their gymnastics class, because I did gymnastics when I was growing up and they needed updated gear," Ms Dynamite told the media.
Previously, the band gave their funds to the community center that nurtured their band, as well as other independent music bodies.
And winners that year the group donated their winnings to a charity for MS after a friend was diagnosed the disease.
"The victory was quite enough," said vocalist Heather Small. "The money was the extra but we didn't require the bonus, because we had the honor. So our success touched the lives of others."
Last week, the MVT revealed it had rescued two local spots in that region, by bringing them into community ownership.
The first in that area and the second in Bristol were bought under the community ownership initiative, which is supported by the arts council and enthusiasts who acquire "ownership units" in the venues.