The artist has given the full amount of his £25,000 Mercury Prize winnings to the Music Venues Trust, which works to preserve the Britain's grassroots music venues.
The star was awarded the award on October 16 as his new release People Watching was named the outstanding release of the previous year.
He has opted to hand the money over to the trust, in recognition of the vital role small stages had in his initial steps.
"I personally wouldn't be doing what I am doing today if it weren't for all the gigs I played around the region, and elsewhere, when I was starting out," remarked Fender. "These venues are renowned, but they are facing challenges."
Since the start of 2023, over 150 of these locations have shut down – approximately 16 percent of the entire UK sector.
Over the past year, major artists such as Pulp, Coldplay, the singer Katy Perry and Ed Sheeran have all backed the Music Venues Trust in its initiatives to keep the scene afloat, by adding a minor surcharge to their ticket prices, which supports independent venues.
Sam Fender also joined in, raising over £100k on his recent tour to support thirty-eight local spots across Britain.
These funds assisted venues that were facing potential shutdown due to difficulties stemming from water damage, fires and bereavements, as well as regulatory hurdles, legal disputes and sound issues.
Some locations obtained monetary aid in improving facilities and technical equipment that positively impacted performers and concertgoers.
"The notion that revenue from shows in major spaces backs the local stages, where it kicks off for performers like me, is just sensible," Fender has said.
He is far from the only musician to give his Mercury Prize winnings to worthy causes.
In Pulp received the trophy in the year 1996 for their album Different Class, vocalist Cocker stated that the act would give their prize money to the organization the charity.
During 2002, rapper and singer Ms Dynamite shared her award among a few good causes, such as the children's charity and a Sickle Cell organization.
"I also donated a £1,000 to Highgate Newtown, to their gymnastics program, because I did gymnastics when I was younger and they lacked better apparatus," the artist explained to outlets.
In recent years, Ezra Collective gave their prize money to the local youth club that supported their group, as well as other grassroots music organisations.
Also winners that year M People contributed their winnings to a multiple sclerosis charity after a friend was found to have the disease.
"Winning was sufficient," remarked singer Small. "The money was the extra but we could do without the bonus, because we had the cake. So our winning impacted the lives of others."
Recently, the Music Venues Trust revealed it had protected several grassroots venues in south-east England, by transferring them to local control.
One venue in that area and the other in Bristol were bought under the public acquisition program, which is supported by the arts council and music fans who buy "ownership units" in the buildings.
