The star has donated the complete sum of his twenty-five thousand pound award cash to the Music Venues Trust, which operates to protect the Britain's grassroots live music spots.
Fender was given the award on 16 October as his third album his work was declared the outstanding release of the previous year.
He has opted to give the cash to the Music Venues Trust, in acknowledgment of the essential function grassroots venues fulfilled in his early career.
"As an artist would not have achieved my current career if it hadn't been for all the shows I played around the North East, and elsewhere, when I was just getting going," said Sam Fender. "These venues are legendary, but they are struggling."
Since the start of 2023, over 150 of these locations have permanently closed – roughly 16 percent of the entire UK sector.
Recently, top acts such as Pulp, the group Coldplay, the singer Katy Perry and Sheeran have all aided the MVT in its initiatives to keep the scene afloat, by adding a small levy to their admission fees, which benefits independent venues.
Sam Fender also took part, generating in excess of £100,000 on his recent tour to support numerous small stages across Britain.
The donation supported venues that were confronting possible closure due to difficulties caused by flooding, fires and family tragedies, as well as permit problems, court cases and noise complaints.
Some locations obtained financial assistance in modernizing amenities and technical equipment that positively impacted performers and concertgoers.
"The notion that money from shows in big venues backs the independent spots, where it kicks off for performers like me, is just common sense," Sam Fender has stated.
Fender is not the first artist to donate his Mercury Prize winnings to worthy causes.
Back when Pulp earned the trophy in the mid-90s for their release the album, frontman the singer announced that the band would give their prize money to the non-profit War Child.
In 2002, rapper and singer the artist split her prize between a few good causes, such as the children's charity and a charity for Sickle Cell.
"I also gave a £1,000 to Highgate Newtown, to their gymnastics program, because I trained in gymnastics when I was a child and they needed new equipment," Ms Dynamite told the media.
Two years ago, they gave their winnings to the community center that developed their group, as well as other local music groups.
Additionally winners that year the group gave their award to a charity for MS after a close contact was found to have the disease.
"Winning was ample," remarked vocalist Heather Small. "The cash was the extra but we didn't need the bonus, because we had the main prize. So our success impacted the lives of others."
Last week, the MVT revealed it had protected two local spots in that region, by bringing them into community ownership.
One venue in Southampton and the second in Bristol were bought under the Own Our Venues program, which is backed by Arts Council England and supporters who buy "stakes" in the buildings.