The artist has given the entirety of his twenty-five thousand pound award cash to the trust for venues, which works to protect the Britain's small live music spots.
He was given the prize on October 16 as his new release his work was named the top album of the previous year.
Fender has chosen to hand the money over to the MVT, in appreciation of the essential function small stages had in his initial steps.
"I personally couldn't be pursuing my current career if it weren't for all the gigs I did around the North East, and beyond, when I was just getting going," remarked the artist. "These locations are iconic, but they are struggling."
Beginning in 2023, over 150 of these venues have shut down – about one-sixth of the entire UK sector.
Recently, top acts like Pulp, Coldplay, the singer Katy Perry and Ed Sheeran have all backed the MVT in its initiatives to help venues survive, by applying a small levy to their admission fees, which goes to help smaller concert halls.
Sam Fender also joined in, raising more than £100,000 on his live tour to assist numerous grassroots venues across the UK.
The donation supported spaces that were confronting possible closure due to issues arising from floods, fire incidents and family tragedies, as well as permit problems, court cases and noise complaints.
Additional spaces received monetary aid in upgrading amenities and technical equipment that directly benefitted artists and audiences.
"The notion that revenue from shows in big venues backs the local stages, where it begins for musicians like me, is just common sense," the star has stated.
The musician is not the first artist to donate his Mercury Prize winnings to worthy causes.
When Pulp earned the trophy in 1996 for their album the album, frontman Cocker declared that the act would contribute their cash to the non-profit War Child.
During 2002, rapper and singer the artist split her award between several charities, such as the children's charity and a Sickle Cell charity.
"I also gave a thousand pounds to the center, to their gymnastics class, because I trained in gymnastics when I was younger and they needed updated gear," Ms Dynamite told outlets.
Two years ago, Ezra Collective donated their prize money to the local youth club that nurtured their act, in addition to other grassroots music organisations.
Additionally the 1994 recipients they donated their award to a charity for MS after a acquaintance was found to have the illness.
"Receiving the award was quite enough," stated artist Small. "The prize was the cherry on top but we didn't need the cherry, because we had the main prize. So our victory impacted another person's life."
Recently, the MVT shared it had rescued two grassroots venues in that region, by placing them under local control.
The first in that area and the other in the city were acquired under the Own Our Venues scheme, which is backed by the arts council and music fans who acquire "stakes" in the buildings.
