The artist has donated the entirety of his £25,000 award prize money to the MVT, which operates to protect the Britain's grassroots live music spots.
The star was presented with the cheque on 16 October as his latest record his work was declared the best record of the past year.
The musician has decided to donate the funds to the Music Venues Trust, in appreciation of the vital role small stages fulfilled in his early career.
"I couldn't be pursuing what I am doing today if it wasn't for all the gigs I played around the region, and beyond, when I was starting out," remarked the artist. "These locations are renowned, but they are in difficulty."
Beginning in 2023, over 150 of these locations have permanently closed – about 16% of the entire UK sector.
In the last year, major artists such as Pulp, Coldplay, Katy Perry and Sheeran have all aided the trust in its efforts to support the industry, by including a minor surcharge to their ticket costs, which supports independent venues.
Fender also took part, generating over £100k on his recent tour to assist thirty-eight local spots across England, Scotland, and Wales.
The money assisted spaces that were confronting possible closure due to difficulties stemming from flooding, fire incidents and personal losses, as well as permit problems, legal disputes and noise complaints.
Other venues obtained funding support in modernizing facilities and gear that helped musicians and fans.
"The idea that revenue from performances in major spaces helps the independent spots, where it all starts for artists like me, is just logical," Sam Fender has said.
Fender is among several artists to donate his Mercury Prize winnings to worthy causes.
When the band received the award in 1996 for their release the album, vocalist the singer declared that the band would give their cash to the charity War Child.
During 2002, rapper and singer the artist divided her award across several charities, like the NSPCC and a Sickle Cell charity.
"I also gave a £1,000 to the center, to their gymnastics class, because I practiced gymnastics when I was growing up and they needed new equipment," the artist explained to outlets.
In recent years, Ezra Collective donated their winnings to the youth organization that nurtured their group, in addition to other local music groups.
Also winners that year M People contributed their award to a MS organization after a acquaintance was diagnosed the condition.
"The victory was quite enough," said singer the singer. "The prize was the cherry on top but we could do without the extra, because we had the main prize. So our victory affected somebody else's life."
Recently, the Music Venues Trust shared it had saved a couple of grassroots venues in south-east England, by bringing them into local control.
One venue in Southampton and the second in Bristol were purchased under the public acquisition scheme, which is backed by the arts council and supporters who purchase "ownership units" in the buildings.
