The star has given the full amount of his £25,000 honor prize money to the MVT, which functions to save the UK's independent live music spots.
The star was presented with the cheque on October 16 as his new release People Watching was named the top album of the past year.
He has opted to hand the money over to the MVT, in acknowledgment of the vital role local spots played in his early career.
"I would not have achieved my current career if it hadn't been for all the performances I performed around the area, and beyond, when I was just getting going," remarked Sam Fender. "These locations are renowned, but they are struggling."
Beginning in 2023, over 150 of these venues have shut down – roughly 16% of the whole industry in the UK.
Over the past year, top acts including Pulp, Coldplay, Katy Perry and Ed Sheeran have all supported the trust in its initiatives to help venues survive, by adding a modest fee to their admission fees, which benefits local stages.
Fender also joined in, generating over £100k on his 2024 arena tour to help thirty-eight local spots across the UK.
These funds helped spaces that were facing potential shutdown due to issues arising from floods, fires and bereavements, as well as permit problems, conflicts and noise complaints.
Some locations were granted monetary aid in improving facilities and gear that helped performers and fans.
"The notion that funds from concerts in big venues supports the smaller venues, where it all starts for artists like me, is just sensible," Sam Fender has said.
He is not the first artist to contribute his Mercury Prize winnings to worthy causes.
Back when the band earned the trophy in the mid-90s for their album their work, frontman the singer declared that the band would donate their winnings to the charity War Child.
In 2002, musician Ms Dynamite divided her prize across several organizations, including the children's charity and a charity for Sickle Cell.
"And I gave a thousand pounds to my local community centre, to their gymnastics class, because I trained in gymnastics when I was younger and they required updated gear," Ms Dynamite shared with a publication.
Two years ago, they gave their funds to the youth organization that developed their act, as well as other independent music bodies.
And winners that year they contributed their prize to a charity for MS after a close contact was diagnosed the illness.
"The victory was quite enough," said singer Small. "The money was the bonus but we didn't need the bonus, because we had the honor. So our victory impacted somebody else's life."
Last week, the trust shared it had saved a couple of local spots in the South East, by placing them under public stewardship.
One venue in that area and the second in Bristol were bought under the public acquisition initiative, which is supported by the arts council and music fans who acquire "ownership units" in the properties.