The star has donated the full amount of his £25,000 award winnings to the MVT, which functions to preserve the Britain's independent music venues.
The star was awarded the cheque on 16 October as his third album People Watching was declared the outstanding release of the last 12 months.
He has chosen to hand the money over to the Music Venues Trust, in appreciation of the vital role small stages fulfilled in his initial steps.
"As an artist couldn't be pursuing this success if it hadn't been for all the gigs I did around the region, and further afield, when I was beginning," stated Sam Fender. "These locations are legendary, but they are struggling."
Beginning in 2023, at least 150 of these locations have permanently closed – about one-sixth of the entire UK sector.
Over the past year, well-known musicians such as Pulp, Coldplay, Katy Perry and Sheeran have all supported the Music Venues Trust in its efforts to support the industry, by including a small levy to their ticket prices, which goes to help smaller concert halls.
Fender also participated, collecting over £100k on his live tour to support numerous local spots across England, Scotland, and Wales.
The money supported spaces that were dealing with imminent closure due to issues arising from flooding, fires and bereavements, as well as regulatory hurdles, court cases and sound issues.
Additional spaces were granted funding support in upgrading facilities and gear that directly benefitted musicians and concertgoers.
"The idea that funds from concerts in large arenas backs the smaller venues, where it kicks off for performers like me, is just sensible," Sam Fender has commented.
The musician is not the first artist to contribute his Mercury Prize winnings to charitable organizations.
Back when the band received the prize in the mid-90s for their record their work, vocalist Cocker stated that the band would contribute their prize money to the organization War Child.
That year, artist Ms Dynamite divided her award between several good causes, such as the NSPCC and a Sickle Cell organization.
"I also contributed a thousand pounds to Highgate Newtown, to their gymnastics program, because I did gymnastics when I was younger and they lacked updated gear," Ms Dynamite shared with the media.
In recent years, the band donated their funds to the youth organization that supported their group, in addition to other grassroots music organisations.
Additionally the 1994 recipients M People donated their prize to a charity for MS after a acquaintance was found to have the disease.
"Winning was ample," remarked vocalist Small. "The prize was the cherry on top but we didn't require the extra, because we had the honor. So our victory touched somebody else's life."
Last week, the trust shared it had saved several local spots in the South East, by transferring them to local control.
The Joiners in the city and The Croft in that location were acquired under the public acquisition initiative, which is backed by the arts council and music fans who acquire "shares" in the buildings.
