The star has donated the complete sum of his £25,000 honor winnings to the trust for venues, which operates to save the Britain's grassroots concert spaces.
He was given the award on October 16 as his new release the album was named the outstanding release of the past year.
The musician has chosen to hand the money over to the Music Venues Trust, in recognition of the crucial part small stages played in his early career.
"I couldn't be pursuing what I am doing today if it weren't for all the shows I played around the region, and further afield, when I was beginning," remarked Sam Fender. "These venues are legendary, but they are struggling."
From early 2023 onward, more than 150 of these venues have permanently closed – approximately 16 percent of the entire UK sector.
Over the past year, major artists like the band Pulp, Coldplay, Katy Perry and Ed Sheeran have all supported the Music Venues Trust in its initiatives to support the industry, by including a minor surcharge to their admission fees, which goes to help independent venues.
He also participated, raising over £100k on his 2024 arena tour to support 38 small stages across the UK.
The donation helped locations that were facing potential shutdown due to issues stemming from flooding, blazes and family tragedies, as well as regulatory hurdles, legal disputes and sound issues.
Some locations obtained monetary aid in upgrading infrastructure and gear that positively impacted performers and concertgoers.
"The notion that funds from concerts in big venues supports the smaller venues, where it all starts for performers like me, is just logical," Fender has commented.
He is far from the only musician to give his Mercury Prize funds to charitable organizations.
Back when they won the award in 1996 for their album their work, vocalist Jarvis Cocker declared that the group would contribute their prize money to the charity War Child.
During 2002, musician she split her award across a few charities, like the children's charity and a charity for Sickle Cell.
"I also contributed a grand to the center, to their classes, because I did gymnastics when I was younger and they lacked new equipment," Ms Dynamite explained to a publication.
Two years ago, the band contributed their funds to the community center that developed their act, alongside other independent music bodies.
And winners that year they donated their award to a MS organization after a friend was identified with the condition.
"Receiving the award was sufficient," stated artist Heather Small. "The cash was the bonus but we didn't need the bonus, because we had the cake. So our success affected somebody else's life."
Recently, the MVT shared it had saved two grassroots venues in the South East, by transferring them to community ownership.
The first in that area and the other in the city were acquired under the public acquisition program, which is backed by a national body and enthusiasts who buy "shares" in the properties.