The artist has given the entirety of his £25k honor cash to the MVT, which functions to save the United Kingdom's grassroots live music spots.
Fender was presented with the cheque on 16 October as his latest record People Watching was chosen as the outstanding release of the previous year.
The musician has chosen to donate the funds to the MVT, in acknowledgment of the crucial part grassroots venues had in his early career.
"I personally couldn't be pursuing what I am doing today if it weren't for all the performances I played around the North East, and further afield, when I was starting out," said Sam Fender. "These locations are iconic, but they are facing challenges."
Since the start of 2023, over 150 of these venues have permanently closed – approximately one-sixth of the whole industry in the UK.
In the last year, top acts such as Pulp, Coldplay, Katy Perry and Ed Sheeran have all supported the Music Venues Trust in its initiatives to help venues survive, by adding a minor surcharge to their ticket prices, which goes to help independent venues.
Fender also joined in, generating in excess of £100,000 on his 2024 arena tour to assist 38 grassroots venues across England, Scotland, and Wales.
The money assisted locations that were facing potential shutdown due to difficulties caused by flooding, fire incidents and family tragedies, as well as permit problems, legal disputes and neighbor objections.
Other venues obtained monetary aid in modernizing facilities and technical equipment that helped performers and concertgoers.
"The concept that revenue from performances in large arenas helps the independent spots, where it all starts for artists like me, is just sensible," the star has said.
Fender is far from the only musician to contribute his Mercury Prize prize money to good deeds.
When they received the award in the year 1996 for their record the album, frontman the singer stated that the band would contribute their prize money to the non-profit War Child.
That year, artist she split her bounty across several charities, like the children's charity and a charity for Sickle Cell.
"Additionally, I gave a grand to the center, to their gymnastics program, because I practiced gymnastics when I was younger and they required better apparatus," Ms Dynamite told the media.
Previously, they contributed their prize money to the community center that supported their group, alongside other local music groups.
Also winners that year they gave their award to a charity for MS after a friend was identified with the illness.
"The victory was ample," remarked singer the singer. "The money was the extra but we didn't need the bonus, because we had the cake. So our success impacted another person's life."
In the past week, the Music Venues Trust announced it had protected several local spots in the South East, by bringing them into public stewardship.
The Joiners in the city and the other in Bristol were purchased under the Own Our Venues initiative, which is supported by the arts council and enthusiasts who purchase "ownership units" in the venues.