The star has given the full amount of his £25k Mercury Prize cash to the Music Venues Trust, which operates to save the Britain's grassroots music venues.
Fender was awarded the cheque on 16 October as his latest record People Watching was named the top album of the past year.
He has opted to give the cash to the Music Venues Trust, in recognition of the essential function grassroots venues played in his early career.
"As an artist couldn't be pursuing my current career if it weren't for all the performances I did around the North East, and further afield, when I was beginning," said Sam Fender. "These venues are legendary, but they are struggling."
Since the start of 2023, at least 150 of these locations have shut down – roughly 16 percent of the total UK scene.
Recently, major artists including Pulp, Coldplay, Katy Perry and Sheeran have all aided the trust in its initiatives to keep the scene afloat, by including a modest fee to their ticket costs, which goes to help local stages.
He also joined in, collecting over £100k on his recent tour to help numerous grassroots venues across the UK.
The money assisted venues that were confronting imminent closure due to difficulties caused by floods, blazes and bereavements, as well as regulatory hurdles, court cases and neighbor objections.
Additional spaces obtained monetary aid in improving infrastructure and gear that directly benefitted performers and concertgoers.
"The concept that money from performances in large arenas helps the local stages, where it begins for musicians like me, is just common sense," Fender has stated.
The musician is among several artists to donate his Mercury Prize prize money to charitable organizations.
When the band earned the award in 1996 for their record their work, frontman the singer announced that the band would donate their winnings to the organization War Child.
During 2002, musician Ms Dynamite split her bounty across several organizations, such as the children's charity and a Sickle Cell charity.
"And I donated a thousand pounds to the center, to their gymnastics class, because I practiced gymnastics when I was a child and they required better apparatus," Ms Dynamite explained to outlets.
Previously, they contributed their winnings to the youth organization that nurtured their act, as well as other grassroots music organisations.
And the 1994 recipients M People donated their winnings to a MS organization after a acquaintance was identified with the condition.
"The victory was sufficient," stated artist Small. "The money was the extra but we didn't require the cherry, because we had the honor. So our winning impacted another person's life."
Recently, the trust shared it had protected a couple of local spots in the South East, by bringing them into community ownership.
The first in the city and the other in the city were purchased under the public acquisition scheme, which is supported by Arts Council England and music fans who purchase "stakes" in the buildings.
