The star has given the full amount of his £25,000 Mercury Prize winnings to the Music Venues Trust, which operates to protect the UK's independent concert spaces.
He was awarded the prize on 16 October as his latest record the album was named the outstanding release of the previous year.
The musician has decided to give the cash to the trust, in recognition of the vital role grassroots venues played in his early career.
"I wouldn't be doing this success if it weren't for all the gigs I performed around the North East, and further afield, when I was just getting going," remarked Sam Fender. "These locations are legendary, but they are facing challenges."
From early 2023 onward, more than 150 of these spaces have ceased operations – approximately one-sixth of the total UK scene.
In the last year, major artists such as Pulp, the group Coldplay, Katy Perry and Ed Sheeran have all aided the trust in its attempts to help venues survive, by including a small levy to their admission fees, which benefits smaller concert halls.
He also participated, raising more than £100,000 on his live tour to assist 38 grassroots venues across the UK.
The donation helped locations that were dealing with possible closure due to challenges arising from water damage, fire incidents and personal losses, as well as licensing issues, legal disputes and sound issues.
Other venues were granted financial assistance in upgrading amenities and sound and lighting systems that helped musicians and concertgoers.
"The concept that revenue from shows in large arenas supports the smaller venues, where it all starts for performers like me, is just sensible," Sam Fender has stated.
He is not the first artist to contribute his award prize money to worthy causes.
In they earned the award in the year 1996 for their release their work, frontman Jarvis Cocker announced that the act would give their winnings to the charity War Child.
That year, musician Ms Dynamite divided her bounty among a few organizations, like the NSPCC and a charity for Sickle Cell.
"I also contributed a grand to Highgate Newtown, to their gymnastics program, because I practiced gymnastics when I was growing up and they lacked updated gear," the artist told the media.
Two years ago, they donated their prize money to the community center that developed their band, in addition to other grassroots music organisations.
Additionally 1994 winners M People gave their award to a multiple sclerosis charity after a friend was identified with the illness.
"Receiving the award was sufficient," stated singer Small. "The money was the cherry on top but we didn't need the cherry, because we had the cake. So our victory impacted another person's life."
In the past week, the Music Venues Trust shared it had saved two small stages in south-east England, by transferring them to local control.
One venue in Southampton and The Croft in the city were bought under the Own Our Venues program, which is backed by Arts Council England and enthusiasts who purchase "shares" in the buildings.
