The artist has given the entirety of his twenty-five thousand pound honor cash to the MVT, which operates to save the United Kingdom's independent concert spaces.
He was given the cheque on mid-October as his new release People Watching was chosen as the top album of the past year.
The musician has opted to hand the money over to the MVT, in appreciation of the crucial part small stages had in his beginning days.
"I would not have achieved this success if it weren't for all the shows I played around the North East, and elsewhere, when I was starting out," said the artist. "These locations are renowned, but they are facing challenges."
Since the start of 2023, at least 150 of these spaces have shut down – roughly one-sixth of the entire UK sector.
Over the past year, well-known musicians like the band Pulp, Coldplay, the singer Katy Perry and Sheeran have all supported the Music Venues Trust in its attempts to keep the scene afloat, by including a small levy to their admission fees, which supports independent venues.
Fender also took part, generating more than £100,000 on his 2024 arena tour to assist 38 small stages across the UK.
The donation assisted venues that were dealing with imminent closure due to difficulties stemming from flooding, fires and personal losses, as well as regulatory hurdles, legal disputes and sound issues.
Some locations were granted monetary aid in upgrading facilities and sound and lighting systems that positively impacted artists and fans.
"The notion that money from shows in major spaces helps the smaller venues, where it kicks off for musicians like me, is just sensible," Sam Fender has commented.
Fender is not the first artist to donate his Mercury Prize prize money to charitable organizations.
Back when Pulp earned the trophy in the year 1996 for their release the album, lead singer Cocker announced that the group would give their cash to the organization War Child.
That year, musician she divided her bounty across a few good causes, including the children's charity and a Sickle Cell organization.
"And I contributed a grand to Highgate Newtown, to their gymnastics class, because I did gymnastics when I was growing up and they lacked better apparatus," Ms Dynamite told the media.
Previously, the band donated their winnings to the community center that developed their group, in addition to other grassroots music organisations.
Additionally the 1994 recipients they donated their prize to a charity for MS after a acquaintance was found to have the condition.
"The victory was sufficient," stated singer Heather Small. "The money was the cherry on top but we didn't require the bonus, because we had the main prize. So our success impacted somebody else's life."
In the past week, the Music Venues Trust announced it had saved two grassroots venues in that region, by bringing them into community ownership.
One venue in that area and the second in the city were acquired under the community ownership scheme, which is backed by Arts Council England and music fans who purchase "stakes" in the buildings.
