The star has given the full amount of his £25k award winnings to the Music Venues Trust, which operates to preserve the Britain's grassroots concert spaces.
He was awarded the cheque on October 16 as his latest record his work was declared the best record of the past year.
The musician has chosen to give the cash to the trust, in acknowledgment of the vital role grassroots venues fulfilled in his early career.
"I wouldn't be doing what I am doing today if it wasn't for all the shows I played around the area, and elsewhere, when I was beginning," said Fender. "These locations are iconic, but they are facing challenges."
Beginning in 2023, at least 150 of these spaces have shut down – approximately 16 percent of the whole industry in the UK.
In the last year, major artists like the band Pulp, Coldplay, the singer Katy Perry and Ed Sheeran have all backed the MVT in its efforts to keep the scene afloat, by including a minor surcharge to their ticket costs, which goes to help local stages.
He also took part, generating in excess of £100,000 on his live tour to support thirty-eight local spots across the UK.
These funds helped venues that were facing imminent closure due to difficulties stemming from water damage, blazes and family tragedies, as well as permit problems, conflicts and neighbor objections.
Other venues were granted funding support in improving facilities and sound and lighting systems that directly benefitted performers and audiences.
"The concept that revenue from performances in big venues backs the local stages, where it kicks off for artists like me, is just common sense," the star has commented.
Fender is far from the only musician to donate his Mercury Prize prize money to good deeds.
Back when the band earned the trophy in the year 1996 for their album their work, vocalist the singer stated that the act would contribute their cash to the organization War Child.
During 2002, musician she split her prize among a few good causes, like the children's charity and a Sickle Cell organization.
"I also gave a grand to my local community centre, to their gymnastics program, because I did gymnastics when I was growing up and they lacked updated gear," she explained to the media.
Previously, Ezra Collective contributed their funds to the youth organization that supported their band, as well as other independent music bodies.
Additionally the 1994 recipients M People donated their winnings to a charity for MS after a acquaintance was diagnosed the disease.
"Winning was sufficient," said singer Small. "The cash was the cherry on top but we didn't require the cherry, because we had the cake. So our victory affected another person's life."
Last week, the MVT announced it had protected a couple of local spots in south-east England, by transferring them to public stewardship.
One venue in Southampton and the other in that location were acquired under the community ownership program, which is backed by the arts council and supporters who purchase "ownership units" in the buildings.
