The artist has donated the complete sum of his £25k Mercury Prize cash to the Music Venues Trust, which works to save the UK's independent music venues.
Fender was presented with the prize on mid-October as his third album People Watching was chosen as the outstanding release of the last 12 months.
He has decided to hand the money over to the trust, in appreciation of the vital role grassroots venues had in his initial steps.
"I wouldn't be doing what I am doing today if it weren't for all the shows I played around the region, and beyond, when I was beginning," said the artist. "These venues are legendary, but they are facing challenges."
Since the start of 2023, more than 150 of these venues have ceased operations – approximately 16 percent of the entire UK sector.
In the last year, well-known musicians such as the band Pulp, Coldplay, the singer Katy Perry and Sheeran have all aided the trust in its efforts to help venues survive, by applying a minor surcharge to their ticket prices, which goes to help smaller concert halls.
Sam Fender also participated, collecting over £100k on his 2024 arena tour to assist 38 grassroots venues across England, Scotland, and Wales.
The donation supported locations that were facing potential shutdown due to difficulties stemming from water damage, fire incidents and bereavements, as well as regulatory hurdles, court cases and noise complaints.
Additional spaces obtained financial assistance in modernizing amenities and technical equipment that positively impacted musicians and concertgoers.
"The concept that funds from shows in major spaces helps the local stages, where it all starts for artists like me, is just common sense," the star has commented.
He is far from the only musician to donate his award prize money to charitable organizations.
When Pulp won the trophy in 1996 for their release the album, frontman Jarvis Cocker stated that the band would give their prize money to the charity War Child.
During 2002, artist the artist split her award across a few charities, such as the NSPCC and a charity for Sickle Cell.
"Additionally, I gave a thousand pounds to my local community centre, to their gymnastics class, because I did gymnastics when I was younger and they needed new equipment," the artist shared with outlets.
In recent years, Ezra Collective donated their prize money to the youth organization that nurtured their act, as well as other local music groups.
Additionally the 1994 recipients M People contributed their winnings to a multiple sclerosis charity after a friend was found to have the illness.
"The victory was ample," remarked singer Small. "The money was the cherry on top but we didn't need the cherry, because we had the main prize. So our victory affected the lives of others."
In the past week, the trust shared it had saved two local spots in that region, by transferring them to public stewardship.
The Joiners in that area and the other in the city were purchased under the public acquisition scheme, which is funded by the arts council and enthusiasts who acquire "stakes" in the buildings.