The artist has given the full amount of his £25,000 award winnings to the Music Venues Trust, which operates to save the Britain's small concert spaces.
The star was awarded the prize on October 16 as his new release People Watching was named the top album of the past year.
He has chosen to donate the funds to the trust, in acknowledgment of the essential function small stages fulfilled in his early career.
"I would not have achieved this success if it weren't for all the gigs I did around the region, and elsewhere, when I was beginning," stated Fender. "These locations are renowned, but they are in difficulty."
From early 2023 onward, over 150 of these spaces have shut down – approximately 16 percent of the whole industry in the UK.
Recently, major artists like Pulp, Coldplay, Katy Perry and Ed Sheeran have all supported the Music Venues Trust in its initiatives to support the industry, by including a minor surcharge to their admission fees, which benefits local stages.
He also participated, raising over £100k on his live tour to support thirty-eight local spots across Britain.
These funds supported locations that were confronting imminent closure due to issues stemming from flooding, blazes and personal losses, as well as permit problems, conflicts and noise complaints.
Additional spaces were granted monetary aid in improving amenities and technical equipment that helped performers and audiences.
"The idea that money from concerts in big venues supports the local stages, where it all starts for musicians like me, is just common sense," the star has commented.
Fender is among several artists to donate his honor prize money to good deeds.
When the band received the trophy in 1996 for their release their work, vocalist Jarvis Cocker stated that the band would contribute their cash to the non-profit War Child.
That year, rapper and singer Ms Dynamite shared her bounty among a few good causes, such as the children's charity and a Sickle Cell charity.
"I also gave a £1,000 to the center, to their classes, because I did gymnastics when I was younger and they lacked better apparatus," Ms Dynamite shared with the media.
In recent years, Ezra Collective contributed their funds to the community center that supported their group, as well as other independent music bodies.
Additionally winners that year they contributed their prize to a MS organization after a close contact was identified with the disease.
"The victory was quite enough," remarked artist Heather Small. "The cash was the bonus but we didn't require the cherry, because we had the honor. So our winning touched somebody else's life."
Last week, the MVT shared it had rescued a couple of grassroots venues in south-east England, by bringing them into public stewardship.
One venue in that area and the second in the city were purchased under the community ownership scheme, which is funded by Arts Council England and enthusiasts who buy "ownership units" in the buildings.