The artist has donated the entirety of his twenty-five thousand pound award cash to the MVT, which works to save the UK's small music venues.
He was given the prize on 16 October as his new release People Watching was named the top album of the previous year.
He has decided to give the cash to the trust, in appreciation of the vital role local spots played in his beginning days.
"I personally couldn't be pursuing what I am doing today if it wasn't for all the shows I performed around the North East, and elsewhere, when I was just getting going," remarked Fender. "These locations are legendary, but they are struggling."
Beginning in 2023, at least 150 of these locations have ceased operations – about 16% of the whole industry in the UK.
Recently, top acts such as the band Pulp, the group Coldplay, Katy Perry and Ed Sheeran have all backed the MVT in its efforts to keep the scene afloat, by applying a small levy to their admission fees, which goes to help independent venues.
Fender also joined in, raising more than £100,000 on his 2024 arena tour to support 38 local spots across the UK.
These funds assisted venues that were facing imminent closure due to challenges arising from floods, blazes and bereavements, as well as permit problems, legal disputes and sound issues.
Additional spaces obtained funding support in modernizing amenities and gear that directly benefitted musicians and fans.
"The concept that money from shows in large arenas helps the independent spots, where it kicks off for performers like me, is just common sense," Sam Fender has commented.
He is among several artists to contribute his Mercury Prize prize money to worthy causes.
In the band won the award in the mid-90s for their release their work, frontman Cocker stated that the group would contribute their prize money to the non-profit the charity.
That year, artist she shared her bounty among several good causes, including the children's charity and a Sickle Cell organization.
"And I gave a thousand pounds to the center, to their classes, because I did gymnastics when I was growing up and they required better apparatus," Ms Dynamite shared with outlets.
Previously, Ezra Collective gave their funds to the local youth club that supported their group, in addition to other local music groups.
Also 1994 winners they contributed their award to a MS organization after a acquaintance was found to have the illness.
"Receiving the award was ample," stated artist the singer. "The cash was the extra but we could do without the cherry, because we had the cake. So our success touched another person's life."
In the past week, the Music Venues Trust revealed it had rescued two small stages in the South East, by placing them under local control.
One venue in Southampton and the other in Bristol were purchased under the Own Our Venues program, which is supported by the arts council and music fans who buy "stakes" in the venues.
