The artist has handed over the entirety of his twenty-five thousand pound honor prize money to the Music Venues Trust, which functions to save the UK's independent live music spots.
Fender was awarded the prize on mid-October as his new release the album was chosen as the top album of the last 12 months.
He has decided to hand the money over to the trust, in recognition of the vital role grassroots venues fulfilled in his early career.
"I personally couldn't be pursuing what I am doing today if it hadn't been for all the shows I performed around the North East, and further afield, when I was beginning," said Fender. "These locations are renowned, but they are struggling."
Beginning in 2023, over 150 of these venues have permanently closed – approximately 16 percent of the entire UK sector.
Recently, top acts like Pulp, Coldplay, Katy Perry and Sheeran have all backed the trust in its attempts to keep the scene afloat, by applying a modest fee to their ticket costs, which goes to help independent venues.
He also joined in, generating over £100k on his live tour to help numerous local spots across Britain.
These funds helped venues that were confronting potential shutdown due to difficulties caused by water damage, blazes and personal losses, as well as permit problems, conflicts and noise complaints.
Additional spaces were granted financial assistance in improving infrastructure and sound and lighting systems that helped performers and concertgoers.
"The notion that money from shows in big venues supports the smaller venues, where it all starts for performers like me, is just common sense," Sam Fender has stated.
Fender is among several artists to donate his Mercury Prize funds to charitable organizations.
In Pulp earned the award in the year 1996 for their record their work, lead singer Jarvis Cocker declared that the band would donate their winnings to the charity War Child.
In 2002, musician the artist divided her prize across several organizations, including the NSPCC and a charity for Sickle Cell.
"And I donated a grand to the center, to their classes, because I did gymnastics when I was younger and they required better apparatus," Ms Dynamite told outlets.
In recent years, they donated their prize money to the community center that nurtured their band, in addition to other local music groups.
Additionally 1994 winners M People gave their winnings to a MS organization after a acquaintance was found to have the illness.
"Winning was sufficient," stated artist Small. "The cash was the extra but we didn't require the bonus, because we had the honor. So our winning affected another person's life."
In the past week, the trust revealed it had rescued several grassroots venues in that region, by transferring them to local control.
The Joiners in that area and The Croft in that location were purchased under the public acquisition initiative, which is supported by Arts Council England and enthusiasts who buy "ownership units" in the buildings.