The artist has handed over the entirety of his £25k award prize money to the Music Venues Trust, which functions to preserve the Britain's small concert spaces.
He was awarded the prize on 16 October as his third album People Watching was chosen as the outstanding release of the past year.
The musician has decided to donate the funds to the MVT, in acknowledgment of the essential function small stages had in his initial steps.
"I personally wouldn't be doing what I am doing today if it hadn't been for all the shows I did around the region, and further afield, when I was just getting going," stated Fender. "These spaces are iconic, but they are facing challenges."
From early 2023 onward, more than 150 of these locations have ceased operations – approximately 16% of the total UK scene.
In the last year, well-known musicians including Pulp, Coldplay, the singer Katy Perry and Sheeran have all backed the Music Venues Trust in its initiatives to support the industry, by applying a small levy to their ticket prices, which goes to help local stages.
Sam Fender also participated, collecting more than £100,000 on his live tour to assist thirty-eight local spots across the UK.
The money supported locations that were facing possible closure due to challenges caused by flooding, fires and family tragedies, as well as permit problems, legal disputes and sound issues.
Other venues obtained monetary aid in modernizing facilities and gear that positively impacted performers and audiences.
"The concept that revenue from concerts in big venues helps the smaller venues, where it all starts for performers like me, is just logical," the star has said.
Fender is far from the only musician to give his Mercury Prize prize money to worthy causes.
In Pulp won the award in the mid-90s for their album their work, lead singer Cocker declared that the act would contribute their cash to the charity War Child.
During 2002, rapper and singer Ms Dynamite divided her bounty among several organizations, like the NSPCC and a Sickle Cell charity.
"Additionally, I donated a £1,000 to my local community centre, to their gymnastics program, because I did gymnastics when I was younger and they needed new equipment," the artist explained to outlets.
Two years ago, Ezra Collective gave their winnings to the local youth club that developed their group, as well as other local music groups.
Additionally the 1994 recipients the group contributed their winnings to a multiple sclerosis charity after a close contact was diagnosed the condition.
"Receiving the award was quite enough," remarked singer Heather Small. "The money was the bonus but we could do without the cherry, because we had the cake. So our victory impacted the lives of others."
Last week, the MVT shared it had protected two local spots in that region, by bringing them into local control.
One venue in Southampton and The Croft in that location were purchased under the community ownership program, which is supported by the arts council and music fans who acquire "stakes" in the buildings.
