The artist has handed over the full amount of his £25k award winnings to the Music Venues Trust, which works to preserve the Britain's independent music venues.
Fender was presented with the award on mid-October as his new release his work was named the outstanding release of the last 12 months.
He has chosen to hand the money over to the Music Venues Trust, in recognition of the vital role grassroots venues played in his initial steps.
"I wouldn't be doing what I am doing today if it hadn't been for all the performances I did around the region, and further afield, when I was beginning," stated Fender. "These locations are iconic, but they are struggling."
Beginning in 2023, more than 150 of these spaces have ceased operations – roughly 16% of the total UK scene.
Over the past year, major artists such as Pulp, Coldplay, Katy Perry and Ed Sheeran have all supported the trust in its attempts to help venues survive, by applying a small levy to their admission fees, which benefits smaller concert halls.
Fender also took part, collecting more than £100,000 on his recent tour to help thirty-eight small stages across England, Scotland, and Wales.
The money supported locations that were dealing with possible closure due to challenges caused by water damage, fire incidents and family tragedies, as well as permit problems, court cases and neighbor objections.
Other venues obtained funding support in modernizing infrastructure and sound and lighting systems that positively impacted performers and fans.
"The notion that revenue from performances in major spaces backs the independent spots, where it all starts for musicians like me, is just common sense," the star has stated.
He is far from the only musician to give his Mercury Prize prize money to good deeds.
In Pulp earned the prize in the year 1996 for their record the album, vocalist Jarvis Cocker stated that the act would contribute their winnings to the non-profit War Child.
That year, artist the artist shared her prize across multiple charities, including the children's charity and a Sickle Cell organization.
"I also contributed a £1,000 to my local community centre, to their gymnastics class, because I practiced gymnastics when I was growing up and they required new equipment," the artist shared with the media.
In recent years, Ezra Collective gave their winnings to the local youth club that developed their band, as well as other independent music bodies.
Additionally winners that year M People donated their award to a multiple sclerosis charity after a friend was diagnosed the condition.
"Receiving the award was ample," stated vocalist Small. "The prize was the extra but we could do without the bonus, because we had the main prize. So our winning touched another person's life."
Last week, the trust shared it had rescued several local spots in the South East, by placing them under public stewardship.
The Joiners in that area and the other in that location were acquired under the public acquisition program, which is supported by the arts council and music fans who buy "shares" in the buildings.