The star has handed over the full amount of his £25k honor winnings to the trust for venues, which operates to save the UK's grassroots live music spots.
He was given the award on October 16 as his new release People Watching was named the outstanding release of the last 12 months.
He has opted to give the cash to the MVT, in acknowledgment of the vital role local spots had in his beginning days.
"I personally would not have achieved my current career if it wasn't for all the gigs I played around the area, and further afield, when I was starting out," remarked Fender. "These locations are iconic, but they are in difficulty."
Since the start of 2023, over 150 of these locations have permanently closed – about 16% of the total UK scene.
Over the past year, major artists like Pulp, Coldplay, the singer Katy Perry and Ed Sheeran have all supported the trust in its initiatives to help venues survive, by adding a small levy to their admission fees, which supports smaller concert halls.
Sam Fender also participated, generating more than £100,000 on his live tour to assist numerous local spots across England, Scotland, and Wales.
These funds supported venues that were facing imminent closure due to challenges caused by flooding, fires and bereavements, as well as permit problems, court cases and noise complaints.
Some locations were granted funding support in improving infrastructure and sound and lighting systems that directly benefitted performers and concertgoers.
"The notion that revenue from shows in big venues backs the local stages, where it kicks off for musicians like me, is just sensible," Sam Fender has stated.
He is not the first artist to give his Mercury Prize funds to charitable organizations.
In they won the award in the year 1996 for their record their work, vocalist the singer declared that the act would contribute their prize money to the charity the charity.
That year, musician the artist divided her award across multiple organizations, like the NSPCC and a Sickle Cell organization.
"I also gave a thousand pounds to my local community centre, to their gymnastics program, because I trained in gymnastics when I was a child and they needed updated gear," the artist told outlets.
Previously, Ezra Collective donated their funds to the local youth club that nurtured their group, in addition to other local music groups.
Also the 1994 recipients they contributed their prize to a multiple sclerosis charity after a acquaintance was diagnosed the illness.
"Receiving the award was sufficient," said artist the singer. "The cash was the bonus but we didn't need the cherry, because we had the honor. So our success impacted another person's life."
In the past week, the trust revealed it had rescued a couple of local spots in south-east England, by bringing them into local control.
One venue in the city and The Croft in Bristol were purchased under the public acquisition program, which is backed by the arts council and supporters who buy "shares" in the buildings.