The artist has given the full amount of his twenty-five thousand pound award prize money to the MVT, which functions to save the United Kingdom's independent concert spaces.
The star was presented with the cheque on 16 October as his latest record People Watching was named the best record of the last 12 months.
Fender has decided to hand the money over to the Music Venues Trust, in appreciation of the essential function local spots played in his early career.
"I would not have achieved this success if it weren't for all the shows I performed around the North East, and further afield, when I was just getting going," remarked Sam Fender. "These spaces are renowned, but they are in difficulty."
Beginning in 2023, at least 150 of these locations have permanently closed – about 16% of the whole industry in the UK.
Over the past year, major artists including the band Pulp, Coldplay, Katy Perry and Sheeran have all aided the Music Venues Trust in its efforts to help venues survive, by adding a modest fee to their admission fees, which goes to help smaller concert halls.
Sam Fender also participated, generating over £100k on his recent tour to assist numerous local spots across Britain.
These funds assisted spaces that were confronting possible closure due to issues stemming from floods, fires and family tragedies, as well as permit problems, legal disputes and sound issues.
Additional spaces received financial assistance in improving facilities and technical equipment that positively impacted performers and fans.
"The idea that funds from concerts in major spaces backs the smaller venues, where it kicks off for artists like me, is just logical," Fender has commented.
Fender is far from the only musician to donate his Mercury Prize winnings to good deeds.
When Pulp earned the award in the year 1996 for their record Different Class, vocalist the singer declared that the group would donate their prize money to the charity the charity.
In 2002, artist she divided her prize between a few good causes, including the NSPCC and a Sickle Cell charity.
"Additionally, I contributed a grand to my local community centre, to their gymnastics program, because I trained in gymnastics when I was a child and they lacked updated gear," Ms Dynamite explained to outlets.
Previously, Ezra Collective contributed their prize money to the youth organization that developed their act, as well as other grassroots music organisations.
Additionally the 1994 recipients M People donated their award to a MS organization after a friend was found to have the illness.
"The victory was quite enough," said artist Heather Small. "The prize was the bonus but we didn't need the cherry, because we had the honor. So our winning impacted somebody else's life."
Last week, the Music Venues Trust shared it had saved a couple of local spots in the South East, by transferring them to community ownership.
One venue in the city and the second in the city were acquired under the public acquisition initiative, which is backed by Arts Council England and supporters who purchase "shares" in the venues.
