The artist has donated the full amount of his £25,000 Mercury Prize cash to the trust for venues, which works to preserve the Britain's small live music spots.
The star was given the prize on 16 October as his third album People Watching was chosen as the outstanding release of the last 12 months.
He has opted to hand the money over to the Music Venues Trust, in appreciation of the essential function small stages had in his beginning days.
"I wouldn't be doing what I am doing today if it weren't for all the performances I did around the North East, and further afield, when I was just getting going," remarked Sam Fender. "These venues are renowned, but they are struggling."
Since the start of 2023, over 150 of these venues have shut down – approximately one-sixth of the whole industry in the UK.
Over the past year, top acts such as Pulp, Coldplay, Katy Perry and Ed Sheeran have all supported the Music Venues Trust in its efforts to keep the scene afloat, by including a modest fee to their ticket costs, which benefits smaller concert halls.
He also joined in, collecting over £100k on his live tour to help 38 grassroots venues across Britain.
The money helped spaces that were facing potential shutdown due to issues stemming from floods, fire incidents and family tragedies, as well as licensing issues, court cases and noise complaints.
Some locations received financial assistance in upgrading facilities and sound and lighting systems that positively impacted artists and fans.
"The idea that money from performances in big venues helps the local stages, where it begins for musicians like me, is just common sense," Fender has stated.
Fender is among several artists to donate his award prize money to good deeds.
Back when Pulp earned the award in 1996 for their album Different Class, frontman Jarvis Cocker stated that the band would contribute their cash to the organization War Child.
During 2002, musician she split her award across several charities, including the NSPCC and a Sickle Cell charity.
"Additionally, I donated a £1,000 to the center, to their classes, because I practiced gymnastics when I was a child and they needed new equipment," the artist shared with the media.
Previously, Ezra Collective contributed their winnings to the community center that supported their act, in addition to other grassroots music organisations.
Additionally the 1994 recipients the group contributed their winnings to a charity for MS after a acquaintance was diagnosed the disease.
"Receiving the award was ample," stated artist the singer. "The cash was the cherry on top but we didn't need the cherry, because we had the main prize. So our success impacted the lives of others."
Last week, the trust shared it had saved two local spots in south-east England, by transferring them to local control.
The first in the city and the other in Bristol were purchased under the public acquisition scheme, which is supported by the arts council and music fans who buy "ownership units" in the buildings.