The star has handed over the complete sum of his £25k honor cash to the MVT, which operates to preserve the United Kingdom's small concert spaces.
He was given the prize on mid-October as his third album his work was chosen as the best record of the previous year.
He has chosen to hand the money over to the trust, in recognition of the crucial part small stages fulfilled in his beginning days.
"I personally wouldn't be doing my current career if it wasn't for all the gigs I played around the North East, and further afield, when I was starting out," stated Sam Fender. "These spaces are renowned, but they are facing challenges."
Beginning in 2023, over 150 of these venues have ceased operations – approximately 16% of the total UK scene.
Over the past year, major artists like the band Pulp, Coldplay, Katy Perry and Ed Sheeran have all aided the trust in its initiatives to help venues survive, by including a small levy to their ticket prices, which benefits independent venues.
Sam Fender also joined in, generating more than £100,000 on his 2024 arena tour to help numerous grassroots venues across Britain.
These funds assisted venues that were facing possible closure due to challenges stemming from water damage, fire incidents and family tragedies, as well as regulatory hurdles, conflicts and noise complaints.
Other venues were granted financial assistance in improving amenities and gear that helped performers and concertgoers.
"The notion that revenue from performances in major spaces helps the smaller venues, where it kicks off for musicians like me, is just common sense," Sam Fender has said.
The musician is far from the only musician to contribute his Mercury Prize funds to charitable organizations.
In Pulp won the trophy in the year 1996 for their album Different Class, lead singer Cocker declared that the band would give their prize money to the non-profit War Child.
That year, rapper and singer she shared her prize between several charities, including the NSPCC and a Sickle Cell organization.
"And I gave a thousand pounds to the center, to their gymnastics program, because I did gymnastics when I was younger and they lacked updated gear," she told the media.
In recent years, they donated their funds to the youth organization that nurtured their act, in addition to other independent music bodies.
Also winners that year the group donated their winnings to a multiple sclerosis charity after a acquaintance was identified with the disease.
"The victory was sufficient," stated vocalist the singer. "The prize was the cherry on top but we didn't require the cherry, because we had the cake. So our success impacted the lives of others."
Recently, the trust shared it had saved a couple of small stages in the South East, by transferring them to public stewardship.
The first in that area and The Croft in the city were purchased under the Own Our Venues scheme, which is supported by a national body and music fans who acquire "shares" in the properties.