The star has handed over the entirety of his £25k award winnings to the MVT, which works to preserve the Britain's independent concert spaces.
He was presented with the cheque on 16 October as his new release his work was declared the top album of the previous year.
He has decided to give the cash to the trust, in appreciation of the crucial part grassroots venues fulfilled in his early career.
"As an artist couldn't be pursuing this success if it weren't for all the gigs I did around the area, and beyond, when I was beginning," remarked Fender. "These venues are legendary, but they are in difficulty."
Since the start of 2023, more than 150 of these venues have ceased operations – approximately 16 percent of the whole industry in the UK.
In the last year, major artists like Pulp, Coldplay, the singer Katy Perry and Ed Sheeran have all aided the trust in its attempts to keep the scene afloat, by adding a minor surcharge to their admission fees, which goes to help local stages.
Fender also participated, generating more than £100,000 on his live tour to assist thirty-eight local spots across England, Scotland, and Wales.
The donation helped venues that were dealing with imminent closure due to issues caused by flooding, fires and family tragedies, as well as permit problems, court cases and sound issues.
Some locations received financial assistance in modernizing infrastructure and sound and lighting systems that directly benefitted artists and fans.
"The notion that money from shows in big venues backs the independent spots, where it all starts for artists like me, is just sensible," the star has commented.
Fender is not the first artist to give his Mercury Prize funds to good deeds.
Back when the band won the award in the mid-90s for their record Different Class, lead singer Cocker declared that the act would contribute their winnings to the charity War Child.
During 2002, musician Ms Dynamite split her prize across several charities, including the children's charity and a charity for Sickle Cell.
"I also donated a £1,000 to my local community centre, to their gymnastics class, because I trained in gymnastics when I was younger and they needed new equipment," she explained to outlets.
Previously, they contributed their winnings to the youth organization that developed their group, in addition to other local music groups.
Additionally 1994 winners M People gave their prize to a charity for MS after a acquaintance was diagnosed the disease.
"The victory was ample," said artist Small. "The money was the bonus but we didn't require the bonus, because we had the cake. So our success impacted another person's life."
In the past week, the trust shared it had saved two small stages in that region, by bringing them into community ownership.
The Joiners in Southampton and the other in that location were bought under the Own Our Venues scheme, which is backed by the arts council and supporters who purchase "stakes" in the buildings.
