The artist has handed over the complete sum of his £25,000 award cash to the Music Venues Trust, which functions to save the UK's small live music spots.
He was awarded the award on October 16 as his third album his work was declared the top album of the previous year.
The musician has decided to hand the money over to the MVT, in recognition of the vital role small stages had in his early career.
"I personally wouldn't be doing what I am doing today if it wasn't for all the performances I played around the region, and further afield, when I was starting out," remarked the artist. "These venues are iconic, but they are facing challenges."
Since the start of 2023, at least 150 of these locations have ceased operations – roughly 16 percent of the whole industry in the UK.
Recently, well-known musicians including the band Pulp, the group Coldplay, Katy Perry and Ed Sheeran have all backed the MVT in its attempts to keep the scene afloat, by including a small levy to their ticket prices, which benefits independent venues.
He also participated, collecting in excess of £100,000 on his 2024 arena tour to help 38 local spots across Britain.
The donation supported venues that were dealing with possible closure due to challenges stemming from floods, blazes and bereavements, as well as permit problems, court cases and noise complaints.
Additional spaces obtained financial assistance in upgrading facilities and sound and lighting systems that helped artists and concertgoers.
"The idea that funds from shows in big venues helps the smaller venues, where it kicks off for artists like me, is just sensible," the star has said.
The musician is not the first artist to give his award funds to charitable organizations.
When they earned the trophy in 1996 for their record the album, frontman Cocker declared that the act would contribute their cash to the charity War Child.
In 2002, rapper and singer Ms Dynamite split her prize among multiple charities, including the children's charity and a charity for Sickle Cell.
"Additionally, I gave a thousand pounds to the center, to their gymnastics program, because I trained in gymnastics when I was a child and they lacked better apparatus," she explained to a publication.
Previously, they gave their prize money to the community center that nurtured their act, as well as other grassroots music organisations.
Additionally winners that year they contributed their award to a multiple sclerosis charity after a friend was diagnosed the disease.
"Receiving the award was quite enough," remarked singer Small. "The money was the extra but we could do without the bonus, because we had the main prize. So our victory affected another person's life."
Recently, the Music Venues Trust revealed it had rescued a couple of local spots in south-east England, by placing them under community ownership.
The first in Southampton and the other in Bristol were purchased under the community ownership program, which is supported by a national body and supporters who buy "shares" in the properties.
