The star has given the complete sum of his £25k award prize money to the MVT, which operates to save the UK's grassroots concert spaces.
The star was awarded the prize on mid-October as his new release the album was declared the top album of the past year.
He has chosen to donate the funds to the trust, in acknowledgment of the essential function local spots had in his early career.
"I would not have achieved this success if it weren't for all the gigs I performed around the area, and beyond, when I was just getting going," stated Fender. "These venues are iconic, but they are struggling."
Beginning in 2023, over 150 of these spaces have ceased operations – roughly 16% of the entire UK sector.
In the last year, major artists like Pulp, Coldplay, Katy Perry and Ed Sheeran have all backed the trust in its efforts to support the industry, by applying a modest fee to their admission fees, which goes to help smaller concert halls.
He also joined in, generating more than £100,000 on his live tour to support numerous small stages across Britain.
The donation supported locations that were dealing with possible closure due to difficulties stemming from water damage, fire incidents and bereavements, as well as permit problems, legal disputes and sound issues.
Additional spaces were granted monetary aid in improving facilities and gear that positively impacted performers and audiences.
"The concept that funds from performances in big venues supports the smaller venues, where it begins for performers like me, is just logical," the star has stated.
Fender is not the first artist to contribute his Mercury Prize winnings to good deeds.
Back when Pulp won the trophy in the mid-90s for their album the album, vocalist the singer announced that the band would donate their cash to the charity War Child.
That year, artist the artist split her award between several good causes, including the NSPCC and a charity for Sickle Cell.
"And I contributed a grand to my local community centre, to their classes, because I trained in gymnastics when I was growing up and they lacked updated gear," the artist shared with a publication.
Two years ago, they gave their prize money to the youth organization that developed their group, alongside other local music groups.
Also winners that year they gave their winnings to a MS organization after a close contact was identified with the condition.
"Winning was quite enough," stated singer Heather Small. "The cash was the cherry on top but we didn't need the cherry, because we had the cake. So our success touched the lives of others."
In the past week, the MVT revealed it had rescued a couple of small stages in the South East, by placing them under public stewardship.
The Joiners in that area and the second in the city were purchased under the Own Our Venues program, which is backed by Arts Council England and music fans who acquire "ownership units" in the venues.