The star has donated the entirety of his twenty-five thousand pound honor cash to the Music Venues Trust, which operates to preserve the United Kingdom's small live music spots.
Fender was awarded the award on 16 October as his latest record People Watching was chosen as the best record of the past year.
He has decided to donate the funds to the Music Venues Trust, in acknowledgment of the vital role grassroots venues had in his beginning days.
"I personally wouldn't be doing this success if it hadn't been for all the shows I played around the region, and beyond, when I was just getting going," stated Fender. "These locations are legendary, but they are in difficulty."
Beginning in 2023, over 150 of these spaces have permanently closed – about 16% of the whole industry in the UK.
Over the past year, top acts like Pulp, Coldplay, Katy Perry and Sheeran have all supported the trust in its efforts to help venues survive, by applying a modest fee to their ticket costs, which goes to help smaller concert halls.
Fender also joined in, raising in excess of £100,000 on his 2024 arena tour to support numerous small stages across the UK.
The money assisted spaces that were facing possible closure due to challenges caused by floods, fires and personal losses, as well as regulatory hurdles, conflicts and noise complaints.
Some locations obtained monetary aid in modernizing infrastructure and gear that directly benefitted artists and audiences.
"The notion that money from shows in major spaces supports the independent spots, where it begins for artists like me, is just common sense," Fender has said.
Fender is among several artists to donate his award funds to charitable organizations.
Back when Pulp won the prize in 1996 for their release Different Class, frontman Cocker stated that the band would give their prize money to the charity War Child.
During 2002, rapper and singer she shared her bounty among a few good causes, such as the children's charity and a Sickle Cell organization.
"Additionally, I donated a grand to Highgate Newtown, to their classes, because I practiced gymnastics when I was a child and they lacked better apparatus," she explained to a publication.
In recent years, they contributed their winnings to the local youth club that developed their band, in addition to other grassroots music organisations.
And the 1994 recipients they donated their winnings to a charity for MS after a acquaintance was identified with the disease.
"The victory was quite enough," remarked singer Heather Small. "The prize was the cherry on top but we could do without the bonus, because we had the cake. So our success touched the lives of others."
Recently, the MVT revealed it had protected several small stages in south-east England, by transferring them to local control.
The first in Southampton and the other in the city were bought under the public acquisition initiative, which is funded by Arts Council England and music fans who purchase "ownership units" in the venues.