The star has donated the full amount of his £25,000 honor cash to the MVT, which operates to preserve the UK's grassroots concert spaces.
He was given the cheque on October 16 as his new release the album was named the top album of the past year.
Fender has opted to give the cash to the Music Venues Trust, in recognition of the vital role small stages played in his early career.
"As an artist wouldn't be doing my current career if it hadn't been for all the gigs I played around the area, and beyond, when I was beginning," stated Fender. "These spaces are iconic, but they are in difficulty."
Since the start of 2023, at least 150 of these locations have ceased operations – roughly 16% of the total UK scene.
Recently, top acts like Pulp, Coldplay, Katy Perry and Ed Sheeran have all aided the Music Venues Trust in its initiatives to help venues survive, by adding a modest fee to their admission fees, which goes to help independent venues.
Sam Fender also took part, collecting in excess of £100,000 on his recent tour to assist 38 small stages across the UK.
The donation assisted spaces that were dealing with potential shutdown due to issues caused by floods, fire incidents and personal losses, as well as licensing issues, court cases and neighbor objections.
Additional spaces obtained financial assistance in modernizing facilities and sound and lighting systems that directly benefitted artists and audiences.
"The concept that money from performances in major spaces supports the smaller venues, where it all starts for artists like me, is just common sense," Sam Fender has stated.
The musician is far from the only musician to contribute his Mercury Prize winnings to worthy causes.
In Pulp won the trophy in 1996 for their album the album, lead singer the singer announced that the group would give their prize money to the organization War Child.
In 2002, rapper and singer she shared her bounty across several organizations, including the NSPCC and a Sickle Cell charity.
"I also contributed a thousand pounds to Highgate Newtown, to their gymnastics class, because I trained in gymnastics when I was a child and they required better apparatus," the artist explained to the media.
Two years ago, Ezra Collective gave their winnings to the local youth club that nurtured their act, as well as other grassroots music organisations.
And 1994 winners they gave their winnings to a MS organization after a acquaintance was identified with the illness.
"Receiving the award was sufficient," remarked singer Small. "The cash was the extra but we could do without the bonus, because we had the main prize. So our winning impacted another person's life."
Last week, the MVT revealed it had saved several small stages in that region, by placing them under public stewardship.
The Joiners in that area and the other in the city were bought under the public acquisition initiative, which is supported by a national body and enthusiasts who purchase "shares" in the venues.
