The star has donated the full amount of his £25,000 honor prize money to the Music Venues Trust, which works to protect the UK's small live music spots.
He was awarded the prize on mid-October as his latest record People Watching was declared the outstanding release of the past year.
Fender has opted to give the cash to the Music Venues Trust, in recognition of the crucial part grassroots venues had in his initial steps.
"I wouldn't be doing what I am doing today if it weren't for all the shows I played around the area, and beyond, when I was just getting going," said the artist. "These venues are legendary, but they are in difficulty."
Since the start of 2023, at least 150 of these locations have permanently closed – approximately 16% of the total UK scene.
In the last year, major artists like Pulp, Coldplay, the singer Katy Perry and Ed Sheeran have all supported the trust in its initiatives to support the industry, by adding a small levy to their ticket costs, which goes to help smaller concert halls.
Sam Fender also participated, generating more than £100,000 on his live tour to support numerous grassroots venues across Britain.
The donation supported locations that were confronting possible closure due to issues caused by floods, fire incidents and family tragedies, as well as regulatory hurdles, conflicts and noise complaints.
Other venues obtained funding support in modernizing facilities and gear that helped artists and fans.
"The concept that revenue from performances in large arenas helps the local stages, where it all starts for performers like me, is just sensible," the star has said.
The musician is not the first artist to donate his Mercury Prize winnings to good deeds.
Back when Pulp earned the prize in the year 1996 for their record their work, vocalist Jarvis Cocker announced that the act would give their winnings to the non-profit War Child.
That year, artist she divided her award across multiple organizations, such as the NSPCC and a Sickle Cell organization.
"I also contributed a £1,000 to my local community centre, to their gymnastics class, because I trained in gymnastics when I was growing up and they needed updated gear," Ms Dynamite shared with outlets.
Previously, they gave their prize money to the youth organization that nurtured their act, as well as other local music groups.
Also winners that year the group gave their award to a multiple sclerosis charity after a friend was found to have the condition.
"Receiving the award was quite enough," stated artist Small. "The prize was the extra but we could do without the bonus, because we had the main prize. So our winning affected the lives of others."
In the past week, the MVT revealed it had saved a couple of local spots in that region, by transferring them to community ownership.
The first in that area and the other in that location were bought under the public acquisition scheme, which is supported by the arts council and music fans who acquire "ownership units" in the venues.
