The artist has given the complete sum of his £25,000 award winnings to the Music Venues Trust, which operates to preserve the Britain's independent live music spots.
Fender was given the award on mid-October as his new release the album was declared the best record of the past year.
He has decided to hand the money over to the MVT, in acknowledgment of the vital role local spots fulfilled in his beginning days.
"I personally would not have achieved what I am doing today if it wasn't for all the gigs I did around the region, and elsewhere, when I was beginning," said Sam Fender. "These spaces are legendary, but they are in difficulty."
Since the start of 2023, more than 150 of these locations have shut down – roughly one-sixth of the total UK scene.
In the last year, well-known musicians like Pulp, Coldplay, Katy Perry and Ed Sheeran have all aided the MVT in its attempts to support the industry, by including a modest fee to their admission fees, which benefits independent venues.
Fender also took part, collecting over £100k on his live tour to assist 38 grassroots venues across England, Scotland, and Wales.
The donation helped locations that were facing potential shutdown due to issues stemming from water damage, blazes and family tragedies, as well as regulatory hurdles, conflicts and noise complaints.
Additional spaces obtained financial assistance in improving amenities and gear that positively impacted artists and fans.
"The idea that revenue from concerts in major spaces backs the independent spots, where it begins for musicians like me, is just sensible," the star has said.
He is not the first artist to give his Mercury Prize winnings to charitable organizations.
When Pulp received the prize in the mid-90s for their record their work, lead singer Jarvis Cocker stated that the group would contribute their winnings to the charity the charity.
During 2002, musician she shared her bounty across a few organizations, including the NSPCC and a Sickle Cell charity.
"Additionally, I gave a £1,000 to Highgate Newtown, to their gymnastics program, because I practiced gymnastics when I was younger and they required updated gear," she told the media.
Previously, the band contributed their funds to the local youth club that supported their group, in addition to other independent music bodies.
Additionally winners that year the group contributed their prize to a multiple sclerosis charity after a acquaintance was diagnosed the illness.
"Winning was quite enough," stated artist Heather Small. "The prize was the cherry on top but we didn't need the extra, because we had the main prize. So our victory impacted the lives of others."
Last week, the MVT revealed it had saved several local spots in the South East, by transferring them to public stewardship.
The first in that area and The Croft in the city were acquired under the Own Our Venues program, which is supported by a national body and enthusiasts who acquire "shares" in the buildings.
