The star has handed over the complete sum of his £25k honor cash to the MVT, which functions to save the United Kingdom's small concert spaces.
Fender was awarded the prize on mid-October as his new release People Watching was chosen as the best record of the last 12 months.
The musician has chosen to hand the money over to the MVT, in appreciation of the vital role small stages had in his beginning days.
"I personally would not have achieved this success if it weren't for all the shows I performed around the region, and elsewhere, when I was starting out," stated the artist. "These spaces are renowned, but they are facing challenges."
Beginning in 2023, more than 150 of these locations have permanently closed – about 16 percent of the whole industry in the UK.
Over the past year, top acts such as the band Pulp, the group Coldplay, Katy Perry and Sheeran have all backed the Music Venues Trust in its efforts to keep the scene afloat, by adding a small levy to their ticket prices, which supports local stages.
Sam Fender also took part, generating over £100k on his 2024 arena tour to help 38 small stages across the UK.
The donation supported venues that were facing potential shutdown due to difficulties stemming from flooding, fire incidents and family tragedies, as well as regulatory hurdles, court cases and neighbor objections.
Additional spaces obtained funding support in upgrading infrastructure and sound and lighting systems that positively impacted artists and fans.
"The concept that funds from performances in large arenas backs the smaller venues, where it kicks off for performers like me, is just sensible," Sam Fender has said.
The musician is not the first artist to contribute his Mercury Prize funds to charitable organizations.
Back when the band won the trophy in the mid-90s for their release their work, frontman the singer declared that the group would give their winnings to the charity the charity.
In 2002, rapper and singer she shared her prize among multiple charities, like the NSPCC and a charity for Sickle Cell.
"And I donated a grand to the center, to their classes, because I trained in gymnastics when I was younger and they needed better apparatus," Ms Dynamite told the media.
Previously, the band donated their funds to the local youth club that developed their group, in addition to other local music groups.
Additionally 1994 winners M People gave their award to a charity for MS after a friend was found to have the disease.
"Winning was ample," said artist Heather Small. "The cash was the extra but we didn't need the bonus, because we had the cake. So our victory impacted somebody else's life."
In the past week, the MVT shared it had saved a couple of local spots in south-east England, by bringing them into local control.
One venue in the city and The Croft in Bristol were bought under the public acquisition initiative, which is backed by the arts council and supporters who acquire "stakes" in the properties.
