The artist has donated the complete sum of his twenty-five thousand pound award winnings to the Music Venues Trust, which operates to save the UK's independent music venues.
The star was presented with the award on 16 October as his latest record People Watching was named the top album of the last 12 months.
Fender has chosen to hand the money over to the MVT, in recognition of the vital role small stages fulfilled in his beginning days.
"As an artist wouldn't be doing what I am doing today if it weren't for all the performances I did around the region, and beyond, when I was beginning," said Fender. "These venues are iconic, but they are facing challenges."
From early 2023 onward, at least 150 of these locations have permanently closed – roughly 16 percent of the whole industry in the UK.
Over the past year, top acts such as Pulp, Coldplay, Katy Perry and Ed Sheeran have all backed the MVT in its efforts to help venues survive, by adding a modest fee to their ticket costs, which benefits local stages.
He also participated, collecting in excess of £100,000 on his 2024 arena tour to help numerous grassroots venues across England, Scotland, and Wales.
These funds supported spaces that were confronting potential shutdown due to challenges arising from floods, fire incidents and family tragedies, as well as permit problems, conflicts and noise complaints.
Some locations were granted monetary aid in modernizing facilities and gear that positively impacted artists and concertgoers.
"The notion that funds from shows in big venues backs the smaller venues, where it all starts for performers like me, is just common sense," Sam Fender has said.
He is among several artists to give his Mercury Prize funds to good deeds.
When they earned the trophy in 1996 for their album Different Class, lead singer Jarvis Cocker declared that the band would donate their cash to the organization the charity.
In 2002, artist Ms Dynamite shared her award between multiple organizations, like the children's charity and a Sickle Cell charity.
"I also gave a grand to Highgate Newtown, to their classes, because I trained in gymnastics when I was younger and they required updated gear," Ms Dynamite told outlets.
Previously, the band donated their winnings to the community center that developed their group, alongside other local music groups.
And 1994 winners they donated their winnings to a MS organization after a acquaintance was found to have the disease.
"Receiving the award was quite enough," said singer the singer. "The cash was the extra but we didn't require the extra, because we had the honor. So our victory impacted another person's life."
Recently, the MVT announced it had rescued two small stages in that region, by bringing them into public stewardship.
One venue in the city and the second in the city were acquired under the public acquisition scheme, which is backed by Arts Council England and music fans who purchase "ownership units" in the venues.
