The star has handed over the entirety of his twenty-five thousand pound award winnings to the Music Venues Trust, which works to preserve the UK's grassroots music venues.
Fender was awarded the cheque on 16 October as his latest record the album was chosen as the outstanding release of the past year.
The musician has chosen to donate the funds to the Music Venues Trust, in recognition of the crucial part small stages fulfilled in his early career.
"I couldn't be pursuing what I am doing today if it weren't for all the performances I did around the North East, and further afield, when I was just getting going," said Sam Fender. "These locations are iconic, but they are facing challenges."
Beginning in 2023, over 150 of these locations have shut down – about 16% of the whole industry in the UK.
In the last year, major artists like Pulp, Coldplay, Katy Perry and Ed Sheeran have all supported the Music Venues Trust in its initiatives to support the industry, by including a minor surcharge to their admission fees, which goes to help local stages.
He also took part, collecting more than £100,000 on his recent tour to help 38 local spots across England, Scotland, and Wales.
These funds assisted spaces that were confronting imminent closure due to issues caused by water damage, fires and personal losses, as well as permit problems, court cases and noise complaints.
Other venues obtained financial assistance in improving amenities and sound and lighting systems that helped musicians and fans.
"The idea that money from shows in large arenas supports the independent spots, where it all starts for artists like me, is just common sense," Sam Fender has stated.
He is far from the only musician to give his Mercury Prize prize money to charitable organizations.
In Pulp received the prize in 1996 for their record their work, lead singer Jarvis Cocker stated that the act would donate their winnings to the organization War Child.
During 2002, musician she shared her award among multiple charities, such as the children's charity and a Sickle Cell charity.
"Additionally, I donated a grand to the center, to their classes, because I trained in gymnastics when I was a child and they required updated gear," Ms Dynamite told a publication.
Previously, they donated their prize money to the local youth club that supported their act, as well as other independent music bodies.
And 1994 winners M People donated their award to a MS organization after a acquaintance was found to have the condition.
"The victory was ample," said artist the singer. "The prize was the bonus but we didn't require the cherry, because we had the main prize. So our victory touched somebody else's life."
Recently, the Music Venues Trust revealed it had protected several local spots in that region, by placing them under public stewardship.
The Joiners in Southampton and the other in Bristol were purchased under the Own Our Venues program, which is funded by Arts Council England and supporters who acquire "shares" in the venues.
