The star has handed over the entirety of his £25k honor winnings to the Music Venues Trust, which functions to save the UK's independent live music spots.
Fender was presented with the award on October 16 as his latest record his work was declared the outstanding release of the past year.
He has decided to give the cash to the MVT, in recognition of the vital role local spots fulfilled in his beginning days.
"I couldn't be pursuing my current career if it hadn't been for all the shows I performed around the area, and further afield, when I was beginning," stated Sam Fender. "These spaces are legendary, but they are in difficulty."
Since the start of 2023, over 150 of these spaces have shut down – roughly one-sixth of the total UK scene.
In the last year, well-known musicians like the band Pulp, Coldplay, the singer Katy Perry and Ed Sheeran have all supported the MVT in its attempts to support the industry, by including a modest fee to their ticket prices, which benefits smaller concert halls.
Fender also joined in, collecting over £100k on his live tour to support 38 grassroots venues across the UK.
The money assisted spaces that were facing imminent closure due to issues caused by water damage, blazes and family tragedies, as well as permit problems, conflicts and sound issues.
Additional spaces received monetary aid in improving facilities and sound and lighting systems that directly benefitted artists and fans.
"The notion that revenue from performances in large arenas helps the local stages, where it all starts for musicians like me, is just logical," the star has said.
Fender is not the first artist to donate his Mercury Prize prize money to worthy causes.
When the band earned the prize in the mid-90s for their record the album, frontman the singer announced that the group would give their winnings to the non-profit War Child.
In 2002, artist she shared her award between several organizations, including the children's charity and a Sickle Cell organization.
"Additionally, I gave a £1,000 to my local community centre, to their gymnastics program, because I trained in gymnastics when I was growing up and they lacked new equipment," Ms Dynamite told outlets.
In recent years, Ezra Collective gave their prize money to the local youth club that nurtured their group, as well as other independent music bodies.
Also the 1994 recipients the group contributed their award to a multiple sclerosis charity after a acquaintance was identified with the disease.
"The victory was quite enough," remarked vocalist Small. "The prize was the bonus but we didn't need the bonus, because we had the honor. So our success affected somebody else's life."
Recently, the trust shared it had rescued a couple of grassroots venues in that region, by bringing them into public stewardship.
One venue in Southampton and the second in the city were acquired under the community ownership initiative, which is funded by Arts Council England and supporters who acquire "stakes" in the venues.
