The star has given the full amount of his £25k honor cash to the Music Venues Trust, which functions to protect the UK's independent concert spaces.
He was awarded the award on October 16 as his third album his work was chosen as the outstanding release of the previous year.
Fender has chosen to donate the funds to the MVT, in recognition of the essential function grassroots venues played in his initial steps.
"I couldn't be pursuing my current career if it wasn't for all the performances I played around the North East, and further afield, when I was just getting going," remarked Fender. "These venues are legendary, but they are facing challenges."
From early 2023 onward, at least 150 of these locations have ceased operations – approximately 16 percent of the total UK scene.
Over the past year, major artists such as the band Pulp, Coldplay, the singer Katy Perry and Sheeran have all aided the trust in its efforts to support the industry, by adding a small levy to their ticket prices, which supports local stages.
Fender also joined in, generating more than £100,000 on his 2024 arena tour to support thirty-eight grassroots venues across Britain.
The donation supported venues that were facing potential shutdown due to challenges arising from floods, blazes and family tragedies, as well as regulatory hurdles, court cases and neighbor objections.
Other venues received financial assistance in upgrading amenities and sound and lighting systems that helped artists and concertgoers.
"The concept that funds from performances in large arenas helps the smaller venues, where it all starts for musicians like me, is just sensible," Sam Fender has commented.
He is far from the only musician to give his Mercury Prize winnings to worthy causes.
Back when the band won the award in the mid-90s for their album their work, frontman Jarvis Cocker declared that the act would contribute their prize money to the non-profit the charity.
During 2002, musician the artist split her prize between multiple good causes, including the NSPCC and a charity for Sickle Cell.
"I also contributed a thousand pounds to Highgate Newtown, to their gymnastics class, because I practiced gymnastics when I was a child and they needed new equipment," Ms Dynamite explained to the media.
Previously, Ezra Collective gave their prize money to the local youth club that supported their group, in addition to other local music groups.
Additionally the 1994 recipients the group gave their award to a MS organization after a close contact was identified with the illness.
"Receiving the award was quite enough," said singer the singer. "The prize was the bonus but we didn't need the cherry, because we had the honor. So our success affected the lives of others."
In the past week, the trust revealed it had rescued several grassroots venues in that region, by transferring them to public stewardship.
The Joiners in Southampton and The Croft in Bristol were bought under the public acquisition initiative, which is funded by the arts council and supporters who acquire "shares" in the venues.
