The artist has given the complete sum of his £25,000 Mercury Prize cash to the MVT, which operates to preserve the Britain's independent concert spaces.
The star was presented with the prize on October 16 as his latest record People Watching was declared the best record of the previous year.
Fender has chosen to hand the money over to the Music Venues Trust, in appreciation of the crucial part small stages fulfilled in his early career.
"I personally would not have achieved this success if it wasn't for all the gigs I did around the area, and elsewhere, when I was starting out," remarked Sam Fender. "These locations are renowned, but they are facing challenges."
Since the start of 2023, at least 150 of these spaces have permanently closed – roughly 16 percent of the whole industry in the UK.
In the last year, major artists such as Pulp, Coldplay, the singer Katy Perry and Ed Sheeran have all aided the Music Venues Trust in its efforts to support the industry, by adding a small levy to their ticket costs, which benefits local stages.
Sam Fender also took part, generating more than £100,000 on his 2024 arena tour to support numerous grassroots venues across the UK.
The money supported venues that were confronting potential shutdown due to challenges caused by water damage, fires and bereavements, as well as permit problems, legal disputes and noise complaints.
Other venues received financial assistance in improving amenities and sound and lighting systems that helped artists and audiences.
"The idea that revenue from performances in large arenas backs the local stages, where it begins for musicians like me, is just sensible," Fender has stated.
The musician is among several artists to give his award winnings to good deeds.
When the band received the award in the mid-90s for their album the album, vocalist Cocker announced that the group would give their prize money to the charity the charity.
That year, rapper and singer she shared her award among several organizations, like the NSPCC and a Sickle Cell charity.
"And I contributed a grand to my local community centre, to their gymnastics class, because I did gymnastics when I was younger and they needed updated gear," the artist told the media.
Previously, Ezra Collective gave their winnings to the youth organization that nurtured their act, alongside other grassroots music organisations.
Also winners that year they gave their winnings to a MS organization after a acquaintance was found to have the illness.
"The victory was ample," remarked artist Heather Small. "The cash was the cherry on top but we didn't require the extra, because we had the cake. So our winning touched another person's life."
Last week, the Music Venues Trust shared it had saved a couple of grassroots venues in south-east England, by transferring them to community ownership.
The Joiners in the city and the second in that location were acquired under the public acquisition scheme, which is backed by Arts Council England and enthusiasts who buy "stakes" in the venues.
