The star has donated the full amount of his £25k honor winnings to the MVT, which works to preserve the Britain's grassroots concert spaces.
Fender was given the cheque on 16 October as his new release the album was chosen as the top album of the previous year.
He has decided to hand the money over to the trust, in recognition of the essential function local spots fulfilled in his initial steps.
"I would not have achieved this success if it hadn't been for all the gigs I played around the region, and further afield, when I was beginning," stated Fender. "These spaces are legendary, but they are struggling."
Since the start of 2023, at least 150 of these spaces have shut down – about 16% of the whole industry in the UK.
Recently, major artists including Pulp, Coldplay, Katy Perry and Ed Sheeran have all supported the Music Venues Trust in its initiatives to help venues survive, by adding a modest fee to their ticket prices, which goes to help independent venues.
Fender also joined in, generating over £100k on his recent tour to assist 38 local spots across the UK.
The money assisted venues that were confronting imminent closure due to challenges arising from floods, fire incidents and personal losses, as well as permit problems, court cases and sound issues.
Some locations received monetary aid in modernizing infrastructure and sound and lighting systems that positively impacted artists and concertgoers.
"The notion that funds from shows in large arenas helps the smaller venues, where it kicks off for artists like me, is just common sense," Fender has commented.
The musician is not the first artist to give his Mercury Prize funds to worthy causes.
Back when Pulp won the trophy in 1996 for their record Different Class, vocalist Cocker stated that the group would contribute their cash to the non-profit the charity.
That year, artist she split her bounty between multiple charities, like the NSPCC and a charity for Sickle Cell.
"And I contributed a grand to Highgate Newtown, to their gymnastics class, because I practiced gymnastics when I was a child and they required better apparatus," the artist explained to a publication.
In recent years, Ezra Collective contributed their funds to the youth organization that supported their band, as well as other local music groups.
And winners that year they contributed their award to a multiple sclerosis charity after a acquaintance was identified with the disease.
"The victory was sufficient," said singer Small. "The prize was the cherry on top but we could do without the bonus, because we had the main prize. So our success touched the lives of others."
Recently, the MVT shared it had rescued a couple of local spots in the South East, by transferring them to public stewardship.
The Joiners in Southampton and the second in that location were purchased under the community ownership scheme, which is backed by a national body and supporters who buy "stakes" in the properties.