The artist has given the full amount of his twenty-five thousand pound award cash to the trust for venues, which functions to protect the United Kingdom's independent concert spaces.
Fender was awarded the award on October 16 as his third album People Watching was named the best record of the previous year.
Fender has opted to donate the funds to the MVT, in acknowledgment of the crucial part grassroots venues fulfilled in his beginning days.
"I couldn't be pursuing my current career if it weren't for all the gigs I played around the area, and elsewhere, when I was just getting going," said Fender. "These locations are renowned, but they are in difficulty."
From early 2023 onward, more than 150 of these venues have ceased operations – roughly 16% of the whole industry in the UK.
In the last year, major artists including Pulp, Coldplay, Katy Perry and Sheeran have all backed the MVT in its efforts to keep the scene afloat, by including a modest fee to their ticket costs, which benefits smaller concert halls.
He also joined in, collecting more than £100,000 on his live tour to assist 38 small stages across Britain.
The donation assisted venues that were facing possible closure due to difficulties caused by flooding, blazes and personal losses, as well as licensing issues, conflicts and neighbor objections.
Other venues obtained funding support in upgrading infrastructure and sound and lighting systems that directly benefitted musicians and concertgoers.
"The idea that money from performances in major spaces backs the local stages, where it begins for musicians like me, is just common sense," Sam Fender has commented.
The musician is not the first artist to give his Mercury Prize winnings to charitable organizations.
In the band received the prize in the mid-90s for their release Different Class, frontman Jarvis Cocker declared that the group would contribute their cash to the charity War Child.
During 2002, artist she split her prize across several good causes, like the NSPCC and a Sickle Cell organization.
"Additionally, I gave a thousand pounds to the center, to their gymnastics program, because I practiced gymnastics when I was younger and they needed new equipment," Ms Dynamite explained to the media.
Previously, Ezra Collective contributed their prize money to the community center that supported their act, in addition to other independent music bodies.
And 1994 winners they contributed their prize to a MS organization after a acquaintance was found to have the disease.
"Receiving the award was ample," remarked artist the singer. "The cash was the bonus but we could do without the bonus, because we had the honor. So our success affected the lives of others."
In the past week, the trust shared it had protected several small stages in the South East, by transferring them to community ownership.
The first in the city and The Croft in the city were purchased under the community ownership program, which is funded by the arts council and supporters who acquire "stakes" in the properties.