The star has donated the full amount of his £25k honor cash to the trust for venues, which works to protect the UK's grassroots concert spaces.
He was presented with the prize on 16 October as his latest record the album was chosen as the best record of the previous year.
He has opted to hand the money over to the trust, in appreciation of the essential function small stages had in his early career.
"I would not have achieved what I am doing today if it wasn't for all the performances I did around the North East, and elsewhere, when I was beginning," said Fender. "These venues are legendary, but they are facing challenges."
From early 2023 onward, at least 150 of these locations have permanently closed – about one-sixth of the total UK scene.
In the last year, top acts such as the band Pulp, the group Coldplay, Katy Perry and Sheeran have all backed the MVT in its initiatives to help venues survive, by adding a small levy to their ticket costs, which benefits independent venues.
He also participated, collecting over £100k on his 2024 arena tour to help thirty-eight small stages across the UK.
The money helped spaces that were dealing with imminent closure due to challenges arising from flooding, blazes and personal losses, as well as regulatory hurdles, legal disputes and noise complaints.
Other venues obtained financial assistance in upgrading infrastructure and gear that directly benefitted musicians and audiences.
"The concept that revenue from concerts in big venues backs the smaller venues, where it begins for musicians like me, is just sensible," Fender has commented.
Fender is far from the only musician to give his honor winnings to good deeds.
In Pulp earned the award in 1996 for their album the album, vocalist the singer announced that the act would contribute their cash to the non-profit War Child.
In 2002, musician the artist split her award across a few 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 a child and they required updated gear," the artist explained to the media.
Two years ago, the band gave their funds to the community center that developed their group, as well as other independent music bodies.
Also winners that year the group gave their award to a multiple sclerosis charity after a close contact was identified with the condition.
"Receiving the award was sufficient," stated vocalist Heather Small. "The money was the bonus but we didn't need the extra, because we had the cake. So our success touched another person's life."
Last week, the Music Venues Trust announced it had protected several small stages in south-east England, by placing them under community ownership.
The Joiners in Southampton and The Croft in that location were acquired under the Own Our Venues scheme, which is funded by Arts Council England and music fans who acquire "ownership units" in the buildings.
