The star has given the entirety of his twenty-five thousand pound award cash to the Music Venues Trust, which works to protect the United Kingdom's small music venues.
He was awarded the award on mid-October as his new release People Watching was declared the best record of the past year.
He has opted to give the cash to the MVT, in appreciation of the vital role small stages played in his early career.
"As an artist wouldn't be doing my current career if it wasn't for all the gigs I did around the area, and elsewhere, when I was beginning," remarked Fender. "These locations are iconic, but they are in difficulty."
From early 2023 onward, more than 150 of these venues have shut down – approximately one-sixth of the whole industry in the UK.
In the last year, well-known musicians including the band Pulp, the group Coldplay, the singer Katy Perry and Ed Sheeran have all backed the trust in its initiatives to keep the scene afloat, by including a minor surcharge to their ticket prices, which supports independent venues.
He also participated, generating in excess of £100,000 on his live tour to support 38 local spots across Britain.
These funds helped spaces that were facing potential shutdown due to difficulties stemming from flooding, blazes and family tragedies, as well as regulatory hurdles, court cases and sound issues.
Additional spaces received monetary aid in upgrading amenities and gear that positively impacted musicians and fans.
"The idea that money from shows in big venues backs the local stages, where it kicks off for artists like me, is just logical," Fender has said.
The musician is not the first artist to contribute his honor funds to charitable organizations.
In the band won the award in the mid-90s for their album Different Class, vocalist Cocker announced that the act would give their cash to the charity War Child.
In 2002, rapper and singer she shared her bounty among multiple good causes, such as the NSPCC and a Sickle Cell charity.
"I also contributed a grand to my local community centre, to their classes, because I trained in gymnastics when I was a child and they needed new equipment," Ms Dynamite shared with the media.
In recent years, the band donated their prize money to the local youth club that developed their group, in addition to other local music groups.
Additionally 1994 winners they donated their prize to a MS organization after a friend was diagnosed the condition.
"Receiving the award was ample," said artist the singer. "The money was the cherry on top but we didn't require the bonus, because we had the cake. So our success touched another person's life."
Recently, the MVT revealed it had rescued several local spots in that region, by transferring them to local control.
One venue in Southampton and The Croft in that location were acquired under the public acquisition scheme, which is funded by Arts Council England and enthusiasts who acquire "stakes" in the properties.