The star has donated the entirety of his £25k award winnings to the trust for venues, which operates to protect the United Kingdom's grassroots music venues.
The star was given the award on 16 October as his new release the album was named the top album of the previous year.
The musician has decided to give the cash to the trust, in recognition of the vital role local spots played in his beginning days.
"I wouldn't be doing what I am doing today if it hadn't been for all the performances I played around the area, and further afield, when I was just getting going," said the artist. "These locations are iconic, but they are struggling."
From early 2023 onward, over 150 of these venues have permanently closed – approximately one-sixth of the whole industry in the UK.
Recently, top acts including the band Pulp, Coldplay, Katy Perry and Sheeran have all backed the trust in its efforts to support the industry, by including a small levy to their ticket prices, which benefits smaller concert halls.
He also joined in, collecting over £100k on his live tour to support 38 small stages across Britain.
These funds helped locations that were confronting imminent closure due to challenges stemming from water damage, blazes and family tragedies, as well as licensing issues, legal disputes and sound issues.
Other venues obtained monetary aid in modernizing facilities and gear that directly benefitted artists and concertgoers.
"The notion that funds from concerts in big venues helps the smaller venues, where it all starts for performers like me, is just logical," Fender has commented.
Fender is far from the only musician to contribute his Mercury Prize winnings to worthy causes.
Back when the band earned the trophy in the mid-90s for their album Different Class, frontman Cocker stated that the group would donate their prize money to the non-profit War Child.
In 2002, musician the artist shared her bounty among a few good causes, like the children's charity and a Sickle Cell charity.
"I also donated a £1,000 to the center, to their gymnastics program, because I practiced gymnastics when I was a child and they lacked new equipment," she explained to a publication.
Two years ago, the band contributed their funds to the youth organization that developed their act, alongside other independent music bodies.
And winners that year they contributed their prize to a charity for MS after a acquaintance was found to have the illness.
"Winning was quite enough," said artist Heather Small. "The money was the bonus but we didn't need the cherry, because we had the cake. So our winning impacted another person's life."
Recently, the trust revealed it had saved a couple of small stages in the South East, by bringing them into local control.
One venue in Southampton and The Croft in Bristol were purchased under the Own Our Venues initiative, which is funded by a national body and enthusiasts who buy "shares" in the properties.
