The artist has given the entirety of his £25,000 award prize money to the trust for venues, which operates to preserve the Britain's grassroots live music spots.
Fender was awarded the award on October 16 as his new release People Watching was declared the outstanding release of the previous year.
The musician has opted to hand the money over to the Music Venues Trust, in acknowledgment of the vital role grassroots venues fulfilled in his initial steps.
"As an artist wouldn't be doing what I am doing today if it weren't for all the shows I did around the North East, and beyond, when I was starting out," remarked the artist. "These locations are legendary, but they are in difficulty."
Beginning in 2023, over 150 of these venues have ceased operations – approximately one-sixth of the entire UK sector.
In the last year, top acts such as the band Pulp, Coldplay, Katy Perry and Ed Sheeran have all backed the trust in its attempts to support the industry, by applying a small levy to their admission fees, which goes to help local stages.
He also joined in, generating over £100k on his recent tour to assist numerous local spots across the UK.
The money assisted spaces that were confronting potential shutdown due to issues arising from floods, fire incidents and bereavements, as well as regulatory hurdles, legal disputes and noise complaints.
Other venues obtained funding support in improving amenities and gear that positively impacted artists and concertgoers.
"The concept that revenue from performances in major spaces supports the smaller venues, where it begins for artists like me, is just sensible," Fender has commented.
He is among several artists to contribute his Mercury Prize funds to good deeds.
When they won the prize in the mid-90s for their record Different Class, frontman Jarvis Cocker stated that the act would give their winnings to the organization War Child.
That year, rapper and singer she shared her bounty among several charities, such as the children's charity and a Sickle Cell organization.
"Additionally, I gave a grand to my local community centre, to their gymnastics class, because I practiced gymnastics when I was a child and they lacked better apparatus," Ms Dynamite explained to outlets.
Two years ago, Ezra Collective gave their winnings to the community center that developed their band, in addition to other independent music bodies.
Also the 1994 recipients the group contributed their winnings to a MS organization after a acquaintance was found to have the condition.
"Winning was quite enough," said vocalist the singer. "The prize was the extra but we didn't need the cherry, because we had the honor. So our winning affected somebody else's life."
Last week, the Music Venues Trust revealed it had saved several small stages in that region, by bringing them into community ownership.
One venue in that area and the second in that location were purchased under the public acquisition scheme, which is supported by Arts Council England and music fans who purchase "shares" in the properties.
