The artist has donated the complete sum of his £25k honor cash to the trust for venues, which operates to preserve the Britain's small live music spots.
Fender was given the prize on mid-October as his latest record the album was chosen as the top album of the previous year.
The musician has decided to give the cash to the MVT, in recognition of the vital role grassroots venues played in his beginning days.
"I personally couldn't be pursuing this success if it weren't for all the shows I did around the North East, and beyond, when I was beginning," stated Fender. "These locations are legendary, but they are in difficulty."
Since the start of 2023, more than 150 of these venues have permanently closed – approximately 16 percent of the total UK scene.
Recently, well-known musicians including Pulp, the group Coldplay, Katy Perry and Ed Sheeran have all backed the MVT in its efforts to keep the scene afloat, by applying a small levy to their ticket prices, which benefits local stages.
Fender also took part, raising in excess of £100,000 on his 2024 arena tour to assist numerous local spots across Britain.
These funds supported locations that were confronting imminent closure due to challenges stemming from water damage, fires and family tragedies, as well as permit problems, court cases and noise complaints.
Other venues were granted funding support in improving facilities and sound and lighting systems that positively impacted musicians and audiences.
"The idea that money from concerts in major spaces backs the local stages, where it begins for performers like me, is just logical," Fender has stated.
Fender is among several artists to contribute his Mercury Prize prize money to charitable organizations.
In they earned the award in the year 1996 for their release Different Class, vocalist the singer stated that the group would give their prize money to the non-profit the charity.
In 2002, artist she shared her prize between multiple organizations, such as the children's charity and a Sickle Cell charity.
"And I donated a £1,000 to the center, to their gymnastics program, because I did gymnastics when I was growing up and they required better apparatus," she explained to outlets.
Previously, Ezra Collective contributed their winnings to the youth organization that nurtured their band, as well as other grassroots music organisations.
Additionally winners that year M People donated their award to a MS organization after a acquaintance was identified with the disease.
"Winning was sufficient," said vocalist Heather Small. "The money was the extra but we didn't require the extra, because we had the main prize. So our winning touched another person's life."
Recently, the trust announced it had rescued several local spots in that region, by bringing them into public stewardship.
The first in Southampton and The Croft in that location were bought under the community ownership initiative, which is funded by a national body and enthusiasts who acquire "stakes" in the buildings.