The artist has given the full amount of his £25k honor cash to the MVT, which works to save the United Kingdom's small live music spots.
Fender was given the cheque on mid-October as his new release his work was named the top album of the previous year.
He has chosen to hand the money over to the Music Venues Trust, in appreciation of the vital role small stages fulfilled in his early career.
"I personally couldn't be pursuing my current career if it weren't for all the performances I played around the area, and elsewhere, when I was just getting going," stated Sam Fender. "These spaces are renowned, but they are in difficulty."
From early 2023 onward, over 150 of these locations have shut down – approximately 16 percent of the total UK scene.
Over the past year, well-known musicians like Pulp, the group Coldplay, Katy Perry and Ed Sheeran have all supported the MVT in its initiatives to keep the scene afloat, by adding a minor surcharge to their admission fees, which supports local stages.
Sam Fender also participated, raising in excess of £100,000 on his recent tour to help numerous local spots across England, Scotland, and Wales.
The money supported venues that were dealing with possible closure due to issues arising from floods, fires and bereavements, as well as licensing issues, court cases and sound issues.
Other venues were granted monetary aid in modernizing infrastructure and technical equipment that positively impacted artists and audiences.
"The concept that money from shows in large arenas backs the local stages, where it all starts for musicians like me, is just common sense," Sam Fender has said.
The musician is not the first artist to contribute his Mercury Prize winnings to charitable organizations.
When Pulp won the prize in the mid-90s for their release the album, lead singer the singer declared that the band would contribute their winnings to the charity War Child.
That year, rapper and singer the artist split her bounty between multiple charities, like the NSPCC and a Sickle Cell organization.
"Additionally, I donated a grand to Highgate Newtown, to their classes, because I trained in gymnastics when I was younger and they needed updated gear," the artist told outlets.
In recent years, Ezra Collective donated their funds to the local youth club that supported their act, in addition to other independent music bodies.
Also the 1994 recipients the group contributed their prize to a MS organization after a close contact was identified with the illness.
"Winning was sufficient," stated singer Small. "The money was the bonus but we didn't need the cherry, because we had the honor. So our success impacted the lives of others."
Last week, the Music Venues Trust shared it had saved a couple of grassroots venues in that region, by transferring them to community ownership.
The first in Southampton and The Croft in the city were purchased under the public acquisition scheme, which is backed by a national body and music fans who buy "shares" in the venues.
