The artist has handed over the entirety of his £25,000 award cash to the Music Venues Trust, which operates to protect the United Kingdom's small live music spots.
Fender was presented with the cheque on mid-October as his latest record People Watching was chosen as the top album of the past year.
He has decided to donate the funds to the trust, in recognition of the essential function small stages fulfilled in his beginning days.
"I couldn't be pursuing what I am doing today if it weren't for all the shows I performed around the North East, and beyond, when I was starting out," remarked Sam Fender. "These spaces are renowned, but they are facing challenges."
Since the start of 2023, at least 150 of these spaces have ceased operations – about 16 percent of the whole industry in the UK.
Recently, major artists such as the band Pulp, Coldplay, the singer Katy Perry and Ed Sheeran have all supported the MVT in its initiatives to keep the scene afloat, by adding a small levy to their admission fees, which benefits smaller concert halls.
He also joined in, collecting more than £100,000 on his live tour to support numerous small stages across the UK.
The money helped spaces that were facing potential shutdown due to difficulties caused by floods, fires and personal losses, as well as permit problems, conflicts and noise complaints.
Additional spaces received monetary aid in modernizing amenities and sound and lighting systems that directly benefitted musicians and concertgoers.
"The idea that revenue from shows in large arenas supports the local stages, where it begins for musicians like me, is just sensible," Fender has commented.
He is among several artists to give his Mercury Prize winnings to charitable organizations.
When they earned the prize in the mid-90s for their record Different Class, lead singer the singer stated that the band would give their winnings to the non-profit War Child.
That year, artist Ms Dynamite divided her prize across a few charities, including the NSPCC and a Sickle Cell charity.
"And I contributed a grand to the center, to their gymnastics program, because I did gymnastics when I was younger and they needed updated gear," she shared with outlets.
In recent years, the band gave their prize money to the youth organization that developed their band, in addition to other grassroots music organisations.
Additionally the 1994 recipients they gave their winnings to a charity for MS after a friend was found to have the illness.
"The victory was ample," stated artist the singer. "The money was the cherry on top but we didn't require the bonus, because we had the main prize. So our victory touched another person's life."
In the past week, the Music Venues Trust announced it had saved two grassroots venues in that region, by placing them under community ownership.
The Joiners in that area and The Croft in the city were bought under the public acquisition program, which is supported by a national body and supporters who buy "stakes" in the venues.
