The artist has given the complete sum of his £25k award winnings to the trust for venues, which operates to protect the United Kingdom's grassroots live music spots.
Fender was awarded the prize on 16 October as his new release his work was declared the top album of the past year.
Fender has chosen to donate the funds to the Music Venues Trust, in appreciation of the crucial part local spots had in his early career.
"I personally wouldn't be doing what I am doing today if it wasn't for all the gigs I played around the area, and beyond, when I was just getting going," said the artist. "These locations are legendary, but they are in difficulty."
Since the start of 2023, at least 150 of these spaces have ceased operations – about 16 percent of the total UK scene.
Over the past year, major artists like Pulp, Coldplay, Katy Perry and Ed Sheeran have all backed the Music Venues Trust in its initiatives to keep the scene afloat, by adding a minor surcharge to their ticket prices, which goes to help local stages.
Sam Fender also participated, collecting in excess of £100,000 on his live tour to support thirty-eight small stages across the UK.
These funds helped spaces that were confronting possible closure due to challenges arising from floods, blazes and personal losses, as well as licensing issues, court cases and neighbor objections.
Additional spaces obtained monetary aid in modernizing infrastructure and gear that positively impacted performers and concertgoers.
"The idea that revenue from performances in major spaces helps the smaller venues, where it begins for artists like me, is just common sense," Fender has said.
Fender is far from the only musician to contribute his Mercury Prize funds to worthy causes.
Back when the band won the trophy in the mid-90s for their album their work, frontman the singer declared that the act would donate their winnings to the charity War Child.
That year, artist she divided her award between several good causes, such as the children's charity and a Sickle Cell organization.
"And I gave a thousand pounds to the center, to their gymnastics class, because I trained in gymnastics when I was a child and they needed new equipment," the artist shared with a publication.
In recent years, the band donated their funds to the community center that supported their band, alongside other local music groups.
And winners that year M People gave their prize to a charity for MS after a close contact was found to have the illness.
"The victory was quite enough," said vocalist Small. "The money was the cherry on top but we didn't need the bonus, because we had the cake. So our winning affected somebody else's life."
Last week, the Music Venues Trust shared it had rescued several local spots in the South East, by placing them under community ownership.
One venue in that area and the second in the city were acquired under the public acquisition program, which is supported by Arts Council England and music fans who buy "shares" in the buildings.
