The artist has given the entirety of his twenty-five thousand pound award winnings to the Music Venues Trust, which functions to preserve the UK's small music venues.
The star was given the award on October 16 as his latest record his work was declared the top album of the previous year.
Fender has opted to donate the funds to the Music Venues Trust, in recognition of the essential function small stages played in his initial steps.
"I personally would not have achieved my current career if it weren't for all the performances I did around the area, and beyond, when I was just getting going," said the artist. "These venues are iconic, but they are struggling."
From early 2023 onward, over 150 of these locations have ceased operations – about 16 percent of the entire UK sector.
Over the past year, major artists such as Pulp, Coldplay, Katy Perry and Ed Sheeran have all aided the trust in its initiatives to keep the scene afloat, by including a small levy to their ticket costs, which supports independent venues.
Sam Fender also joined in, raising more than £100,000 on his 2024 arena tour to assist 38 grassroots venues across Britain.
The money supported locations that were dealing with possible closure due to challenges stemming from floods, fires and family tragedies, as well as regulatory hurdles, legal disputes and sound issues.
Some locations received financial assistance in improving amenities and technical equipment that positively impacted musicians and fans.
"The idea that revenue from performances in large arenas supports the smaller venues, where it all starts for musicians like me, is just logical," Fender has said.
The musician is not the first artist to contribute his Mercury Prize prize money to charitable organizations.
When they won the prize in 1996 for their record Different Class, vocalist Jarvis Cocker announced that the group would contribute their prize money to the non-profit the charity.
During 2002, rapper and singer the artist divided her bounty among multiple charities, including the NSPCC and a charity for Sickle Cell.
"And 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," the artist explained to outlets.
Two years ago, the band gave their prize money to the youth organization that developed their band, alongside other local music groups.
And 1994 winners they donated their winnings to a multiple sclerosis charity after a acquaintance was diagnosed the disease.
"Receiving the award was ample," stated vocalist Heather Small. "The prize was the extra but we could do without the extra, because we had the main prize. So our winning touched the lives of others."
Recently, the trust announced it had saved several grassroots venues in that region, by transferring them to community ownership.
The Joiners in Southampton and the second in that location were purchased under the public acquisition program, which is funded by a national body and supporters who buy "shares" in the properties.
