The artist has given the complete sum of his £25,000 honor prize money to the trust for venues, which operates to preserve the United Kingdom's grassroots live music spots.
He was presented with the award on 16 October as his new release People Watching was named the outstanding release of the last 12 months.
He has decided to give the cash to the MVT, in recognition of the vital role local spots fulfilled in his initial steps.
"I personally couldn't be pursuing my current career if it weren't for all the shows I performed around the North East, and beyond, when I was beginning," remarked the artist. "These venues are renowned, but they are struggling."
Beginning in 2023, more than 150 of these spaces have shut down – about 16% of the total UK scene.
Recently, major artists such as Pulp, the group Coldplay, Katy Perry and Ed Sheeran have all backed the trust in its attempts to support the industry, by applying a minor surcharge to their ticket prices, which supports smaller concert halls.
He also joined in, raising over £100k on his live tour to support 38 small stages across the UK.
The donation helped spaces that were confronting possible closure due to difficulties stemming from water damage, fire incidents and personal losses, as well as licensing issues, conflicts and sound issues.
Additional spaces received monetary aid in improving amenities and technical equipment that directly benefitted artists and fans.
"The concept that revenue from shows in large arenas backs the local stages, where it all starts for performers like me, is just logical," Sam Fender has commented.
Fender is not the first artist to contribute his Mercury Prize funds to good deeds.
When the band won the trophy in the year 1996 for their album the album, vocalist Cocker announced that the act would donate their cash to the organization War Child.
In 2002, musician Ms Dynamite divided her award across a few organizations, such as the NSPCC and a Sickle Cell charity.
"I also gave a grand to Highgate Newtown, to their gymnastics class, because I trained in gymnastics when I was a child and they required updated gear," she told a publication.
Previously, they donated their winnings to the community center that developed their band, alongside other local music groups.
And the 1994 recipients the group gave their prize to a charity for MS after a acquaintance was diagnosed the condition.
"The victory was sufficient," remarked vocalist the singer. "The money was the bonus but we didn't require the cherry, because we had the honor. So our success impacted somebody else's life."
Recently, the MVT shared it had rescued several grassroots venues in south-east England, by bringing them into local control.
One venue in that area and The Croft in that location were purchased under the public acquisition program, which is supported by the arts council and music fans who purchase "shares" in the buildings.
