The artist has handed over the full amount of his £25k award winnings to the Music Venues Trust, which operates to protect the United Kingdom's grassroots live music spots.
He was given the prize on October 16 as his third album People Watching was declared the best record of the past year.
Fender has opted to donate the funds to the MVT, in acknowledgment of the crucial part local spots played in his initial steps.
"As an artist would not have achieved my current career if it wasn't for all the gigs I played around the area, and further afield, when I was beginning," remarked Fender. "These locations are legendary, but they are in difficulty."
Beginning in 2023, more than 150 of these spaces have shut down – approximately 16 percent of the total UK scene.
In the last year, well-known musicians such as Pulp, Coldplay, Katy Perry and Sheeran have all supported the MVT in its efforts to keep the scene afloat, by applying a minor surcharge to their admission fees, which benefits smaller concert halls.
He also took part, collecting in excess of £100,000 on his recent tour to assist numerous grassroots venues across the UK.
These funds supported locations that were dealing with imminent closure due to difficulties caused by flooding, fire incidents and family tragedies, as well as regulatory hurdles, court cases and neighbor objections.
Additional spaces received funding support in improving facilities and technical equipment that directly benefitted artists and fans.
"The idea that revenue from performances in major spaces helps the smaller venues, where it kicks off for artists like me, is just common sense," Sam Fender has said.
The musician is among several artists to donate his Mercury Prize funds to good deeds.
In the band won the award in the mid-90s for their release their work, frontman Cocker declared that the group would contribute their cash to the charity War Child.
During 2002, musician she split her prize between several good causes, like the NSPCC and a Sickle Cell organization.
"Additionally, I contributed a £1,000 to Highgate Newtown, to their gymnastics class, because I did gymnastics when I was younger and they needed updated gear," Ms Dynamite explained to a publication.
Previously, the band donated their funds to the youth organization that supported their band, alongside other independent music bodies.
Additionally winners that year the group donated their winnings to a charity for MS after a close contact was identified with the condition.
"Receiving the award was ample," stated artist Heather Small. "The money was the extra but we didn't require the bonus, because we had the cake. So our success touched somebody else's life."
Recently, the Music Venues Trust announced it had rescued two grassroots venues in the South East, by transferring them to local control.
The Joiners in Southampton and the other in Bristol were acquired under the Own Our Venues scheme, which is funded by a national body and supporters who acquire "ownership units" in the properties.
