The artist has donated the entirety of his £25,000 award cash to the Music Venues Trust, which functions to preserve the UK's small live music spots.
The star was presented with the award on 16 October as his new release the album was chosen as the top album of the last 12 months.
He has chosen to hand the money over to the Music Venues Trust, in acknowledgment of the crucial part small stages played in his initial steps.
"I wouldn't be doing this success if it weren't for all the shows I performed around the North East, and further afield, when I was just getting going," said Fender. "These spaces are legendary, but they are in difficulty."
Since the start of 2023, at least 150 of these venues have shut down – about one-sixth of the entire UK sector.
In the last year, major artists like the band Pulp, Coldplay, Katy Perry and Sheeran have all supported the trust in its initiatives to help venues survive, by adding a minor surcharge to their ticket prices, which supports local stages.
Fender also took part, generating over £100k on his 2024 arena tour to support numerous local spots across Britain.
These funds assisted venues that were confronting imminent closure due to difficulties caused by flooding, blazes and bereavements, as well as regulatory hurdles, court cases and neighbor objections.
Other venues received financial assistance in upgrading amenities and technical equipment that positively impacted musicians and audiences.
"The notion that funds from shows in big venues helps the smaller venues, where it begins for performers like me, is just sensible," the star has stated.
Fender is among several artists to contribute his award winnings to worthy causes.
When they earned the trophy in 1996 for their record their work, lead singer the singer stated that the group would give their winnings to the charity War Child.
In 2002, rapper and singer Ms Dynamite split her award across several charities, such as the NSPCC and a Sickle Cell charity.
"And I donated a £1,000 to my local community centre, to their classes, because I trained in gymnastics when I was growing up and they lacked new equipment," the artist told the media.
Previously, the band donated their prize money to the community center that supported their group, as well as other grassroots music organisations.
Additionally winners that year M People donated their award to a charity for MS after a friend was diagnosed the condition.
"Receiving the award was quite enough," said vocalist Small. "The money was the cherry on top but we didn't require the bonus, because we had the cake. So our winning affected another person's life."
Recently, the Music Venues Trust announced it had protected a couple of grassroots venues in south-east England, by bringing them into public stewardship.
One venue in the city and the other in that location were bought under the Own Our Venues initiative, which is supported by a national body and enthusiasts who acquire "ownership units" in the buildings.