The artist has given the full amount of his twenty-five thousand pound award cash to the Music Venues Trust, which works to save the UK's small music venues.
He was awarded the cheque on 16 October as his new release 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 recognition of the vital role small stages fulfilled in his beginning days.
"I wouldn't be doing my current career if it weren't for all the performances I did around the North East, and further afield, when I was just getting going," remarked Fender. "These locations are renowned, but they are facing challenges."
Since the start of 2023, at least 150 of these locations have permanently closed – approximately 16 percent of the total UK scene.
Recently, top acts such as Pulp, Coldplay, Katy Perry and Ed Sheeran have all supported the Music Venues Trust in its efforts to keep the scene afloat, by applying a minor surcharge to their ticket costs, which goes to help local stages.
Fender also joined in, raising in excess of £100,000 on his recent tour to support thirty-eight small stages across England, Scotland, and Wales.
The donation assisted venues that were dealing with potential shutdown due to difficulties caused by floods, blazes and personal losses, as well as regulatory hurdles, conflicts and neighbor objections.
Additional spaces were granted financial assistance in modernizing amenities and gear that positively impacted performers and audiences.
"The concept that money from concerts in large arenas supports the independent spots, where it begins for artists like me, is just common sense," Fender has stated.
He is among several artists to give his honor funds to good deeds.
When Pulp won the award in 1996 for their record the album, vocalist Jarvis Cocker stated that the act would donate their cash to the organization War Child.
In 2002, musician the artist shared her bounty between a few organizations, such as the NSPCC and a Sickle Cell organization.
"Additionally, I gave a grand to Highgate Newtown, to their classes, because I did gymnastics when I was younger and they lacked better apparatus," she explained to a publication.
Two years ago, Ezra Collective gave their funds to the local youth club that developed their group, alongside other local music groups.
Also 1994 winners they gave their prize to a multiple sclerosis charity after a friend was found to have the condition.
"The victory was sufficient," said singer Small. "The money was the cherry on top but we didn't require the extra, because we had the main prize. So our winning touched another person's life."
Recently, the trust revealed it had protected two grassroots venues in the South East, by placing them under local control.
The Joiners in Southampton and The Croft in Bristol were acquired under the Own Our Venues scheme, which is backed by the arts council and supporters who purchase "shares" in the properties.