The artist has given the entirety of his £25,000 award cash to the MVT, which works to save the Britain's independent music venues.
The star was presented with the award on mid-October as his new release the album was chosen as the top album of the last 12 months.
Fender has opted to donate the funds to the MVT, in recognition of the essential function small stages played in his early career.
"I couldn't be pursuing my current career if it wasn't for all the gigs I performed around the area, and beyond, when I was just getting going," said Sam Fender. "These locations are iconic, but they are struggling."
Since the start of 2023, more than 150 of these locations have permanently closed – roughly 16% of the whole industry in the UK.
Over the past year, major artists like Pulp, Coldplay, the singer Katy Perry and Ed Sheeran have all aided the trust in its initiatives to help venues survive, by including a modest fee to their ticket costs, which goes to help local stages.
Sam Fender also took part, collecting over £100k on his recent tour to assist thirty-eight small stages across Britain.
These funds helped venues that were facing potential shutdown due to issues stemming from floods, fire incidents and personal losses, as well as permit problems, court cases and neighbor objections.
Some locations received funding support in modernizing infrastructure and sound and lighting systems that directly benefitted artists and audiences.
"The notion that funds from shows in major spaces backs the smaller venues, where it begins for musicians like me, is just sensible," Sam Fender has stated.
Fender is not the first artist to give his Mercury Prize prize money to charitable organizations.
When the band earned the trophy in the mid-90s for their release their work, lead singer Cocker announced that the act would give their cash to the charity the charity.
In 2002, musician the artist divided her bounty between multiple charities, such as the children's charity and a Sickle Cell organization.
"Additionally, I gave a grand to my local community centre, to their classes, because I trained in gymnastics when I was growing up and they required updated gear," Ms Dynamite explained to the media.
Two years ago, they gave their prize money to the youth organization that developed their band, in addition to other local music groups.
And winners that year the group contributed their prize to a multiple sclerosis charity after a friend was identified with the condition.
"Winning was quite enough," said artist the singer. "The cash was the bonus but we didn't require the bonus, because we had the main prize. So our victory affected another person's life."
In the past week, the MVT shared it had saved two grassroots venues in that region, by placing them under community ownership.
One venue in Southampton and The Croft in Bristol were bought under the community ownership program, which is supported by a national body and music fans who acquire "stakes" in the properties.
