The star has given the complete sum of his £25,000 honor cash to the Music Venues Trust, which functions to protect the UK's grassroots music venues.
He was presented with the cheque on October 16 as his latest record People Watching was declared the best record of the previous year.
He has opted to hand the money over to the Music Venues Trust, in recognition of the vital role local spots fulfilled in his early career.
"As an artist couldn't be pursuing this success if it hadn't been for all the shows I played around the area, and further afield, when I was beginning," stated the artist. "These venues are legendary, but they are facing challenges."
Since the start of 2023, at least 150 of these locations have shut down – roughly 16 percent of the whole industry in the UK.
In the last year, major artists like Pulp, Coldplay, the singer Katy Perry and Sheeran have all supported the MVT in its initiatives to support the industry, by including a minor surcharge to their ticket costs, which benefits smaller concert halls.
Fender also participated, collecting in excess of £100,000 on his recent tour to assist thirty-eight small stages across England, Scotland, and Wales.
The donation assisted locations that were dealing with imminent closure due to challenges caused by floods, fires and family tragedies, as well as regulatory hurdles, court cases and noise complaints.
Some locations received monetary aid in upgrading facilities and sound and lighting systems that helped musicians and fans.
"The concept that revenue from concerts in large arenas supports the smaller venues, where it begins for performers like me, is just common sense," Sam Fender has said.
He is not the first artist to contribute his honor winnings to worthy causes.
Back when they earned the trophy in the year 1996 for their record Different Class, lead singer Jarvis Cocker declared that the group would give their winnings to the non-profit War Child.
That year, rapper and singer the artist divided her prize among several good causes, such as the children's charity and a Sickle Cell organization.
"And I donated a grand to my local community centre, to their classes, because I practiced gymnastics when I was a child and they needed new equipment," Ms Dynamite shared with outlets.
In recent years, the band contributed their prize money to the community center that supported their act, alongside other local music groups.
Also 1994 winners they gave their winnings to a multiple sclerosis charity after a acquaintance was found to have the condition.
"The victory was ample," said vocalist the singer. "The cash was the extra but we could do without the bonus, because we had the cake. So our winning touched another person's life."
Recently, the MVT shared it had protected several grassroots venues in that region, by transferring them to community ownership.
The Joiners in the city and The Croft in the city were bought under the public acquisition initiative, which is funded by a national body and music fans who purchase "shares" in the venues.