The artist has given the full amount of his twenty-five thousand pound award cash to the MVT, which functions to protect the Britain's grassroots music venues.
The star was awarded the prize on October 16 as his latest record People Watching was named the top album of the previous year.
He has opted to give the cash to the trust, in acknowledgment of the vital role small stages had in his early career.
"I personally couldn't be pursuing what I am doing today if it weren't for all the shows I performed around the North East, and elsewhere, when I was beginning," remarked Fender. "These locations are legendary, but they are facing challenges."
From early 2023 onward, more than 150 of these locations have permanently closed – about 16 percent of the entire UK sector.
In the last year, major artists including the band Pulp, Coldplay, the singer Katy Perry and Ed Sheeran have all backed the Music Venues Trust in its initiatives to keep the scene afloat, by applying a modest fee to their ticket prices, which supports local stages.
Fender also participated, collecting over £100k on his 2024 arena tour to support numerous local spots across the UK.
The donation helped locations that were confronting potential shutdown due to issues stemming from water damage, fire incidents and family tragedies, as well as regulatory hurdles, court cases and noise complaints.
Other venues obtained financial assistance in modernizing infrastructure and sound and lighting systems that positively impacted artists and audiences.
"The idea that money from performances in major spaces supports the local stages, where it all starts for artists like me, is just logical," Fender has commented.
Fender is not the first artist to give his award winnings to worthy causes.
When they earned the award in the year 1996 for their release their work, vocalist Jarvis Cocker announced that the group would donate their cash to the non-profit the charity.
In 2002, rapper and singer she shared her prize between several charities, such as the NSPCC and a Sickle Cell organization.
"And I donated a £1,000 to my local community centre, to their gymnastics class, because I did gymnastics when I was growing up and they required new equipment," Ms Dynamite shared with a publication.
Two years ago, they donated their funds to the youth organization that developed their group, in addition to other independent music bodies.
Additionally 1994 winners they gave their award to a MS organization after a close contact was found to have the illness.
"Winning was sufficient," stated singer the singer. "The money was the bonus but we didn't need the bonus, because we had the cake. So our winning impacted somebody else's life."
Last week, the MVT shared it had saved a couple of grassroots venues in south-east England, by bringing them into public stewardship.
One venue in that area and the second in Bristol were bought under the community ownership scheme, which is backed by Arts Council England and enthusiasts who acquire "stakes" in the buildings.