Sam Fender has handed over the full amount of his £25k award cash to the trust for venues, which functions to save the UK's independent live music spots.
The star was awarded the prize on 16 October as his new release People Watching was declared the best record of the last 12 months.
The musician has chosen to donate the funds to the Music Venues Trust, in acknowledgment of the crucial part local spots had in his early career.
"I couldn't be pursuing what I am doing today if it weren't for all the shows I did around the area, and further afield, when I was starting out," remarked the artist. "These locations are renowned, but they are struggling."
Beginning in 2023, at least 150 of these spaces have ceased operations – about one-sixth of the entire UK sector.
Over the past year, major artists including Pulp, Coldplay, Katy Perry and Sheeran have all backed the MVT in its efforts to keep the scene afloat, by adding a modest fee to their admission fees, which goes to help independent venues.
He also participated, raising over £100k on his live tour to assist thirty-eight grassroots venues across the UK.
The donation helped spaces that were dealing with possible closure due to issues stemming from flooding, fires and personal losses, as well as permit problems, conflicts and neighbor objections.
Some locations were granted funding support in upgrading amenities and sound and lighting systems that positively impacted performers and fans.
"The notion that revenue from concerts in big venues backs the local stages, where it kicks off for musicians like me, is just logical," the star has stated.
Fender is among several artists to contribute his honor prize money to good deeds.
Back when they received the prize in the year 1996 for their record Different Class, vocalist Cocker declared that the group would contribute their winnings to the charity the charity.
That year, artist the artist divided her award across a few good causes, such as the NSPCC and a Sickle Cell charity.
"And I gave a grand to the center, to their classes, because I trained in gymnastics when I was younger and they needed better apparatus," Ms Dynamite shared with outlets.
In recent years, the band contributed their winnings to the youth organization that nurtured their band, in addition to other grassroots music organisations.
Also winners that year M People contributed their award to a charity for MS after a acquaintance was found to have the illness.
"Winning was ample," said artist Heather Small. "The money was the bonus but we didn't require the extra, because we had the main prize. So our success touched the lives of others."
In the past week, the MVT revealed it had saved several local spots in the South East, by transferring them to community ownership.
The Joiners in Southampton and The Croft in Bristol were purchased under the Own Our Venues program, which is supported by Arts Council England and enthusiasts who buy "stakes" in the venues.