The artist has given the entirety of his £25,000 Mercury Prize cash to the Music Venues Trust, which works to save the Britain's grassroots music venues.
The star was given the award on mid-October as his new release the album was chosen as the top album of the past year.
He has chosen to give the cash to the MVT, in acknowledgment of the vital role small stages played in his initial steps.
"As an artist wouldn't be doing what I am doing today if it hadn't been for all the gigs I performed around the area, and beyond, when I was beginning," said Fender. "These locations are legendary, but they are struggling."
From early 2023 onward, over 150 of these locations have shut down – roughly one-sixth of the whole industry in the UK.
Over the past year, well-known musicians including the band Pulp, Coldplay, Katy Perry and Sheeran have all supported the trust in its attempts to support the industry, by including a modest fee to their ticket costs, which goes to help smaller concert halls.
He also participated, raising in excess of £100,000 on his live tour to help numerous grassroots venues across the UK.
The money helped locations that were facing imminent closure due to difficulties arising from floods, fire incidents and family tragedies, as well as licensing issues, court cases and neighbor objections.
Some locations were granted financial assistance in upgrading amenities and technical equipment that directly benefitted performers and concertgoers.
"The idea that funds from shows in big venues helps the smaller venues, where it all starts for artists like me, is just logical," the star has said.
Fender is far from the only musician to contribute his award winnings to good deeds.
In they earned the trophy in the mid-90s for their release their work, vocalist Jarvis Cocker announced that the act would contribute their winnings to the non-profit War Child.
During 2002, rapper and singer the artist divided her prize across multiple good causes, such as the NSPCC and a Sickle Cell charity.
"I also donated a £1,000 to Highgate Newtown, to their classes, because I trained in gymnastics when I was a child and they needed new equipment," she explained to a publication.
In recent years, Ezra Collective contributed their funds to the community center that developed their group, as well as other local music groups.
Additionally winners that year the group gave their award to a charity for MS after a friend was identified with the disease.
"The victory was sufficient," remarked artist Small. "The money was the cherry on top but we didn't need the extra, because we had the honor. So our victory affected somebody else's life."
Last week, the trust revealed it had saved several grassroots venues in the South East, by bringing them into community ownership.
One venue in the city and The Croft in that location were acquired under the public acquisition scheme, which is funded by a national body and music fans who acquire "shares" in the properties.