The star has given the full amount of his £25k award winnings to the MVT, which functions to protect the Britain's grassroots concert spaces.
He was given the cheque on mid-October as his latest record the album was chosen as the best record of the past year.
He has decided to donate the funds to the Music Venues Trust, in recognition of the vital role local spots fulfilled in his beginning days.
"I would not have achieved this success if it hadn't been for all the performances I performed around the area, and further afield, when I was beginning," said Fender. "These venues are iconic, but they are in difficulty."
From early 2023 onward, more than 150 of these spaces have permanently closed – roughly one-sixth of the total UK scene.
Over the past year, top acts including Pulp, the group Coldplay, Katy Perry and Ed Sheeran have all backed the MVT in its initiatives to help venues survive, by applying a minor surcharge to their ticket prices, which benefits independent venues.
He also participated, generating in excess of £100,000 on his live tour to help thirty-eight grassroots venues across England, Scotland, and Wales.
The money helped spaces that were dealing with possible closure due to difficulties arising from water damage, fires and bereavements, as well as licensing issues, court cases and noise complaints.
Other venues were granted financial assistance in improving facilities and technical equipment that directly benefitted artists and concertgoers.
"The concept that revenue from concerts in big venues backs the local stages, where it begins for performers like me, is just sensible," Fender has stated.
The musician is not the first artist to give his Mercury Prize funds to good deeds.
Back when the band won the trophy in the mid-90s for their record the album, vocalist the singer declared that the group would donate their cash to the organization War Child.
In 2002, musician she shared her award among a few charities, like the children's charity and a Sickle Cell charity.
"And I 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 better apparatus," the artist told outlets.
In recent years, the band contributed their winnings to the local youth club that developed their act, alongside other grassroots music organisations.
Additionally winners that year M People contributed their award to a charity for MS after a close contact was found to have the condition.
"Receiving the award was quite enough," said artist the singer. "The money was the extra but we didn't require the extra, because we had the honor. So our success affected another person's life."
In the past week, the trust announced it had rescued a couple of grassroots venues in the South East, by placing them under community ownership.
The Joiners in the city and the other in that location were bought under the Own Our Venues scheme, which is supported by the arts council and supporters who buy "stakes" in the buildings.
