The artist has given the complete sum of his £25,000 Mercury Prize prize money to the Music Venues Trust, which works to preserve the UK's small live music spots.
He was given the prize on mid-October as his new release his work was named the best record of the previous year.
He has opted to hand the money over to the trust, in acknowledgment of the vital role grassroots venues had in his early career.
"I wouldn't be doing what I am doing today if it hadn't been for all the performances I did around the North East, and beyond, when I was just getting going," said Fender. "These locations are renowned, but they are struggling."
Beginning in 2023, at least 150 of these locations have permanently closed – roughly 16 percent of the whole industry in the UK.
Recently, well-known musicians such as the band Pulp, Coldplay, Katy Perry and Ed Sheeran have all aided the trust in its initiatives to support the industry, by adding a modest fee to their ticket costs, which goes to help smaller concert halls.
Sam Fender also joined in, collecting in excess of £100,000 on his 2024 arena tour to support 38 small stages across Britain.
The donation assisted spaces that were facing imminent closure due to difficulties caused by flooding, fire incidents and bereavements, as well as licensing issues, court cases and neighbor objections.
Other venues obtained financial assistance in improving amenities and sound and lighting systems that helped performers and fans.
"The idea that revenue from concerts in major spaces helps the local stages, where it kicks off for performers like me, is just sensible," the star has stated.
The musician is among several artists to contribute his award funds to worthy causes.
When Pulp received the award in the year 1996 for their record Different Class, lead singer the singer stated that the act would donate their winnings to the organization War Child.
In 2002, artist the artist shared her prize between several organizations, like the children's charity and a charity for Sickle Cell.
"I also gave a grand to my local community centre, to their gymnastics class, because I trained in gymnastics when I was a child and they lacked new equipment," Ms Dynamite shared with a publication.
In recent years, the band gave their winnings to the local youth club that developed their group, as well as other independent music bodies.
And winners that year M People contributed their award to a MS organization after a friend was diagnosed the condition.
"Receiving the award was sufficient," said artist Heather Small. "The prize was the cherry on top but we didn't require the extra, because we had the honor. So our success affected somebody else's life."
Last week, the MVT revealed it had saved a couple of grassroots venues in south-east England, by bringing them into public stewardship.
The Joiners in the city and the other in the city were bought under the public acquisition initiative, which is supported by the arts council and supporters who acquire "shares" in the properties.