The artist has donated the complete sum of his £25k honor cash to the MVT, which works to preserve the UK's grassroots concert spaces.
The star was awarded the award on October 16 as his third album People Watching was declared the best record of the past year.
The musician has opted to donate the funds to the Music Venues Trust, in appreciation of the crucial part small stages had in his early career.
"As an artist would not have achieved what I am doing today if it weren't for all the shows I played around the region, and beyond, when I was just getting going," stated the artist. "These spaces are renowned, but they are in difficulty."
Beginning in 2023, more than 150 of these venues have permanently closed – approximately 16% of the whole industry in the UK.
In the last year, top acts like Pulp, Coldplay, the singer Katy Perry and Sheeran have all supported the trust in its attempts to keep the scene afloat, by applying a modest fee to their ticket costs, which goes to help independent venues.
He also took part, collecting in excess of £100,000 on his live tour to support numerous small stages across the UK.
The donation assisted spaces that were facing imminent closure due to challenges arising from water damage, fire incidents and bereavements, as well as licensing issues, court cases and neighbor objections.
Other venues obtained funding support in modernizing infrastructure and technical equipment that directly benefitted musicians and fans.
"The idea that funds from concerts in big venues supports the local stages, where it all starts for musicians like me, is just common sense," Fender has said.
The musician is among several artists to give his Mercury Prize winnings to worthy causes.
Back when the band received the award in the mid-90s for their album their work, vocalist Jarvis Cocker announced that the act would give their cash to the charity War Child.
In 2002, musician the artist split her prize across a few organizations, such as the NSPCC and a Sickle Cell organization.
"Additionally, I contributed a grand to my local community centre, to their gymnastics class, because I did gymnastics when I was a child and they lacked better apparatus," Ms Dynamite told outlets.
In recent years, the band donated their prize money to the community center that developed their group, in addition to other independent music bodies.
Additionally 1994 winners M People donated their winnings to a multiple sclerosis charity after a acquaintance was found to have the disease.
"The victory was sufficient," said singer the singer. "The money was the bonus but we didn't need the extra, because we had the cake. So our winning touched the lives of others."
Recently, the MVT revealed it had rescued a couple of grassroots venues in south-east England, by placing them under public stewardship.
One venue in the city and The Croft in Bristol were bought under the community ownership scheme, which is funded by a national body and enthusiasts who buy "ownership units" in the venues.
