The star has given the complete sum of his £25,000 Mercury Prize cash to the trust for venues, which operates to save the UK's small music venues.
Fender was presented with the award on October 16 as his new release the album was named the top album of the last 12 months.
The musician has chosen to give the cash to the MVT, in acknowledgment of the vital role local spots had in his early career.
"As an artist would not have achieved what I am doing today if it wasn't for all the gigs I performed around the region, and further afield, when I was just getting going," said Fender. "These spaces are iconic, but they are facing challenges."
Beginning in 2023, at least 150 of these locations have ceased operations – roughly one-sixth of the whole industry in the UK.
Over the past year, well-known musicians such as Pulp, Coldplay, Katy Perry and Sheeran have all supported the trust in its attempts to keep the scene afloat, by applying a small levy to their ticket prices, which benefits smaller concert halls.
Sam Fender also joined in, raising in excess of £100,000 on his 2024 arena tour to help thirty-eight small stages across the UK.
The donation helped spaces that were confronting potential shutdown due to issues arising from water damage, fires and personal losses, as well as regulatory hurdles, legal disputes and neighbor objections.
Some locations obtained funding support in upgrading facilities and gear that directly benefitted artists and audiences.
"The idea that revenue from concerts in major spaces backs the local stages, where it begins for performers like me, is just common sense," Sam Fender has stated.
He is far from the only musician to give his award winnings to charitable organizations.
In the band earned the trophy in the year 1996 for their album Different Class, lead singer the singer stated that the band would contribute their winnings to the organization the charity.
In 2002, rapper and singer Ms Dynamite divided her bounty among a few charities, including the children's charity and a Sickle Cell organization.
"And I donated a £1,000 to the center, to their gymnastics class, because I trained in gymnastics when I was growing up and they needed better apparatus," Ms Dynamite shared with the media.
Previously, the band donated their funds to the community center that nurtured their act, as well as other local music groups.
Additionally 1994 winners M People gave their winnings to a charity for MS after a friend was diagnosed the disease.
"Receiving the award was sufficient," remarked singer Small. "The prize was the bonus but we didn't require the extra, because we had the cake. So our winning touched the lives of others."
In the past week, the MVT announced it had protected a couple of grassroots venues in the South East, by transferring them to community ownership.
One venue in Southampton and the second in the city were purchased under the Own Our Venues program, which is supported by the arts council and music fans who buy "stakes" in the properties.