The star has given the complete sum of his £25k honor winnings to the trust for venues, which works to preserve the Britain's grassroots music venues.
The star was presented with the prize on October 16 as his third album the album was named the best record of the previous year.
Fender has opted to give the cash to the trust, in appreciation of the crucial part local spots played in his early career.
"As an artist would not have achieved what I am doing today if it wasn't for all the gigs I did around the region, and further afield, when I was beginning," remarked the artist. "These venues are legendary, but they are facing challenges."
From early 2023 onward, at least 150 of these spaces have permanently closed – about 16% of the total UK scene.
Recently, well-known musicians including Pulp, the group Coldplay, Katy Perry and Ed Sheeran have all supported the Music Venues Trust in its initiatives to support the industry, by including a minor surcharge to their admission fees, which goes to help local stages.
Sam Fender also joined in, generating in excess of £100,000 on his live tour to support 38 small stages across England, Scotland, and Wales.
The money helped spaces that were dealing with imminent closure due to difficulties caused by floods, fire incidents and personal losses, as well as licensing issues, conflicts and sound issues.
Other venues were granted funding support in upgrading amenities and technical equipment that positively impacted artists and audiences.
"The notion that money from concerts in major spaces helps the independent spots, where it all starts for artists like me, is just logical," the star has stated.
Fender is among several artists to contribute his Mercury Prize winnings to good deeds.
In they earned the prize in 1996 for their record Different Class, vocalist Cocker stated that the group would donate their cash to the charity War Child.
In 2002, musician she shared her award between multiple organizations, like the NSPCC and a Sickle Cell organization.
"And I gave a £1,000 to the center, to their classes, because I practiced gymnastics when I was growing up and they lacked updated gear," she explained to the media.
In recent years, the band donated their prize money to the community center that developed their act, as well as other independent music bodies.
And the 1994 recipients M People contributed their winnings to a charity for MS after a close contact was diagnosed the disease.
"The victory was ample," stated vocalist Small. "The money was the cherry on top but we didn't require the extra, because we had the cake. So our victory impacted the lives of others."
Recently, the trust shared it had rescued two grassroots venues in that region, by placing them under community ownership.
The first in the city and The Croft in Bristol were purchased under the community ownership scheme, which is supported by a national body and music fans who acquire "stakes" in the venues.