The star has donated the full amount of his £25,000 Mercury Prize cash to the Music Venues Trust, which operates to preserve the Britain's grassroots live music spots.
He was given the cheque on mid-October as his latest record his work was chosen as the top album of the past year.
The musician has chosen to give the cash to the MVT, in acknowledgment of the vital role small stages played in his beginning days.
"I couldn't be pursuing my current career if it hadn't been for all the performances I performed around the North East, and further afield, when I was just getting going," said Sam Fender. "These venues are legendary, but they are facing challenges."
Beginning in 2023, at least 150 of these venues have shut down – approximately one-sixth of the whole industry in the UK.
Over the past year, major artists like the band Pulp, Coldplay, Katy Perry and Ed Sheeran have all backed the Music Venues Trust in its efforts to support the industry, by adding a small levy to their ticket prices, which supports smaller concert halls.
He also participated, raising in excess of £100,000 on his live tour to help numerous small stages across Britain.
These funds assisted venues that were confronting imminent closure due to issues arising from flooding, fires and family tragedies, as well as licensing issues, legal disputes and sound issues.
Some locations were granted funding support in upgrading amenities and gear that positively impacted artists and audiences.
"The idea that money from performances in large arenas backs the independent spots, where it all starts for performers like me, is just sensible," Fender has stated.
He is far from the only musician to donate his award winnings to worthy causes.
When the band won the trophy in 1996 for their record their work, frontman Cocker announced that the band would give their prize money to the non-profit the charity.
In 2002, musician she divided her bounty between multiple good causes, like the NSPCC and a charity for Sickle Cell.
"And I gave a thousand pounds to my local community centre, to their gymnastics program, because I did gymnastics when I was growing up and they needed new equipment," Ms Dynamite explained to outlets.
In recent years, Ezra Collective donated their funds to the local youth club that supported their group, alongside other local music groups.
Also 1994 winners the group donated their winnings to a multiple sclerosis charity after a acquaintance was identified with the illness.
"Winning was sufficient," stated singer the singer. "The money was the extra but we didn't require the bonus, because we had the main prize. So our victory affected somebody else's life."
Last week, the trust revealed it had protected several grassroots venues in south-east England, by bringing them into public stewardship.
The Joiners in Southampton and the other in that location were purchased under the community ownership scheme, which is supported by the arts council and music fans who acquire "shares" in the venues.