The star has given the complete sum of his £25,000 Mercury Prize cash to the MVT, which operates to save the United Kingdom's grassroots live music spots.
He was presented with the award on 16 October as his latest record the album was declared the best record of the last 12 months.
The musician has opted to give the cash to the Music Venues Trust, in appreciation of the crucial part grassroots venues played in his early career.
"I would not have achieved what I am doing today if it hadn't been for all the performances I did around the area, and beyond, when I was beginning," said Sam Fender. "These venues are iconic, but they are facing challenges."
Since the start of 2023, at least 150 of these locations have permanently closed – about 16% of the whole industry in the UK.
Over the past year, well-known musicians like the band Pulp, the group Coldplay, the singer Katy Perry and Ed Sheeran have all backed the trust in its attempts to help venues survive, by applying a minor surcharge to their admission fees, which goes to help independent venues.
He also participated, collecting over £100k on his 2024 arena tour to support numerous small stages across England, Scotland, and Wales.
The donation supported spaces that were dealing with potential shutdown due to difficulties arising from floods, blazes and family tragedies, as well as regulatory hurdles, legal disputes and sound issues.
Some locations received financial assistance in upgrading infrastructure and sound and lighting systems that directly benefitted performers and concertgoers.
"The concept that funds from performances in large arenas helps the independent spots, where it begins for musicians like me, is just common sense," the star has stated.
The musician is not the first artist to contribute his award winnings to worthy causes.
When they earned the award in 1996 for their album Different Class, vocalist Jarvis Cocker stated that the band would give their winnings to the non-profit the charity.
That year, artist she split her bounty across several organizations, like the children's charity and a charity for Sickle Cell.
"I also donated a £1,000 to Highgate Newtown, to their gymnastics program, because I did gymnastics when I was younger and they lacked better apparatus," Ms Dynamite shared with outlets.
Previously, Ezra Collective contributed their prize money to the youth organization that supported their act, alongside other local music groups.
And 1994 winners the group donated their award to a MS organization after a acquaintance was identified with the condition.
"The victory was quite enough," stated vocalist Heather Small. "The prize was the extra but we didn't require the cherry, because we had the honor. So our winning affected somebody else's life."
In the past week, the Music Venues Trust revealed it had rescued two grassroots venues in that region, by placing them under community ownership.
The first in Southampton and the second in Bristol were purchased under the public acquisition program, which is funded by a national body and supporters who acquire "shares" in the buildings.
