The star has donated the full amount of his £25,000 honor cash to the trust for venues, which operates to protect the United Kingdom's grassroots concert spaces.
He was presented with the prize on mid-October as his third album People Watching was chosen as the best record of the past year.
Fender has opted to donate the funds to the MVT, in acknowledgment of the crucial part local spots fulfilled in his initial steps.
"As an artist would not have achieved this success if it wasn't for all the gigs I did around the area, and further afield, when I was starting out," said Fender. "These venues are iconic, but they are in difficulty."
From early 2023 onward, at least 150 of these venues have ceased operations – about 16% of the entire UK sector.
Recently, well-known musicians like Pulp, the group Coldplay, Katy Perry and Ed Sheeran have all supported the MVT in its initiatives to keep the scene afloat, by including a modest fee to their admission fees, which supports local stages.
Fender also participated, generating over £100k on his 2024 arena tour to help 38 grassroots venues across the UK.
These funds assisted locations that were dealing with imminent closure due to issues stemming from floods, fire incidents and family tragedies, as well as permit problems, conflicts and neighbor objections.
Some locations were granted funding support in modernizing amenities and technical equipment that helped performers and fans.
"The idea that revenue from performances in big venues helps the local stages, where it begins for performers like me, is just sensible," Sam Fender has stated.
He is far from the only musician to give his Mercury Prize prize money to worthy causes.
When they earned the award in the year 1996 for their album Different Class, lead singer the singer announced that the band would contribute their winnings to the non-profit War Child.
During 2002, musician the artist divided her prize between a few organizations, including the children's charity and a Sickle Cell organization.
"I also gave a grand to the center, to their gymnastics class, because I did gymnastics when I was younger and they needed updated gear," she explained to outlets.
Two years ago, they donated their prize money to the youth organization that nurtured their band, as well as other independent music bodies.
And 1994 winners they contributed their award to a multiple sclerosis charity after a close contact was found to have the disease.
"Receiving the award was ample," remarked vocalist Heather Small. "The money was the extra but we didn't need the bonus, because we had the cake. So our success impacted another person's life."
Last week, the trust shared it had saved several grassroots venues in the South East, by bringing them into public stewardship.
The Joiners in the city and the other in the city were acquired under the public acquisition scheme, which is supported by a national body and music fans who acquire "shares" in the buildings.
