The star has handed over the entirety of his twenty-five thousand pound honor winnings to the MVT, which operates to preserve the UK's grassroots music venues.
He was given the prize on October 16 as his third album his work was declared the top album of the last 12 months.
The musician has chosen to donate the funds to the trust, in acknowledgment of the crucial part grassroots venues fulfilled in his beginning days.
"I couldn't be pursuing what I am doing today if it hadn't been for all the performances I played around the area, and further afield, when I was starting out," remarked Fender. "These spaces are iconic, but they are in difficulty."
Beginning in 2023, more than 150 of these spaces have ceased operations – approximately one-sixth of the entire UK sector.
In the last year, well-known musicians including Pulp, the group Coldplay, Katy Perry and Ed Sheeran have all backed the trust in its attempts to help venues survive, by adding a small levy to their ticket prices, which benefits smaller concert halls.
Sam Fender also took part, raising over £100k on his recent tour to support thirty-eight local spots across England, Scotland, and Wales.
These funds assisted locations that were confronting possible closure due to difficulties arising from flooding, fire incidents and personal losses, as well as regulatory hurdles, legal disputes and sound issues.
Some locations received funding support in upgrading facilities and gear that positively impacted artists and concertgoers.
"The idea that revenue from concerts in big venues helps the smaller venues, where it kicks off for artists like me, is just logical," Fender has stated.
Fender is not the first artist to give his Mercury Prize funds to worthy causes.
When they won the prize in the year 1996 for their record their work, lead singer Cocker declared that the act would donate their winnings to the charity War Child.
During 2002, rapper and singer the artist shared her prize between a few organizations, such as the NSPCC and a charity for Sickle Cell.
"Additionally, I donated a £1,000 to my local community centre, to their classes, because I trained in gymnastics when I was a child and they required new equipment," she shared with a publication.
In recent years, the band donated their winnings to the local youth club that nurtured their group, as well as other independent music bodies.
Additionally winners that year the group contributed their award to a multiple sclerosis charity after a close contact was diagnosed the condition.
"Winning was quite enough," said singer Heather Small. "The money was the cherry on top but we didn't require the cherry, because we had the main prize. So our success impacted the lives of others."
In the past week, the MVT revealed it had protected two grassroots venues in the South East, by bringing them into community ownership.
One venue in that area and The Croft in the city were purchased under the public acquisition initiative, which is supported by the arts council and music fans who purchase "ownership units" in the properties.
