The star has given the entirety of his twenty-five thousand pound award winnings to the trust for venues, which works to preserve the Britain's grassroots music venues.
He was given the award on October 16 as his third album People Watching was declared the best record of the past year.
The musician has decided to hand the money over to the trust, in acknowledgment of the essential function grassroots venues played in his beginning days.
"As an artist couldn't be pursuing this success if it hadn't been for all the gigs I played around the area, and further afield, when I was beginning," remarked Sam Fender. "These spaces are iconic, but they are in difficulty."
Since the start of 2023, over 150 of these venues have permanently closed – approximately 16% of the total UK scene.
Recently, well-known musicians including Pulp, Coldplay, the singer Katy Perry and Sheeran have all supported the trust in its efforts to support the industry, by applying a modest fee to their admission fees, which benefits local stages.
Fender also participated, collecting in excess of £100,000 on his live tour to help 38 small stages across England, Scotland, and Wales.
The money supported venues that were dealing with imminent closure due to challenges stemming from floods, fire incidents and personal losses, as well as permit problems, conflicts and noise complaints.
Some locations received funding support in modernizing amenities and technical equipment that positively impacted musicians and fans.
"The idea that revenue from performances in big venues backs the local stages, where it begins for musicians like me, is just sensible," Fender has commented.
Fender is not the first artist to contribute his Mercury Prize prize money to charitable organizations.
When the band received the award in 1996 for their release the album, lead singer the singer declared that the band would contribute their cash to the charity War Child.
During 2002, rapper and singer the artist divided her bounty among a few organizations, such as the NSPCC and a Sickle Cell organization.
"I also gave a grand to Highgate Newtown, to their gymnastics class, because I practiced gymnastics when I was younger and they required better apparatus," she explained to the media.
In recent years, they contributed their prize money to the youth organization that supported their group, alongside other grassroots music organisations.
Additionally 1994 winners M People gave their winnings to a multiple sclerosis charity after a friend was diagnosed the illness.
"The victory was ample," said singer Small. "The cash was the bonus but we didn't require the extra, because we had the main prize. So our success affected the lives of others."
Last week, the MVT revealed it had saved two local spots in that region, by transferring them to community ownership.
The first in Southampton and the second in the city were acquired under the public acquisition initiative, which is supported by a national body and enthusiasts who purchase "stakes" in the properties.