Sam Fender has handed over the entirety of his £25k award cash to the trust for venues, which works to preserve the Britain's independent concert spaces.
He was awarded the award on October 16 as his new release the album was declared the top album of the past year.
The musician has decided to give the cash to the MVT, in acknowledgment of the vital role small stages had in his initial steps.
"I personally couldn't be pursuing this success if it hadn't been for all the performances I did around the region, and beyond, when I was starting out," remarked Fender. "These spaces are legendary, but they are facing challenges."
From early 2023 onward, more than 150 of these spaces have ceased operations – about 16 percent of the total UK scene.
Recently, major artists such as Pulp, Coldplay, Katy Perry and Ed Sheeran have all backed the MVT in its efforts to support the industry, by applying a small levy to their ticket prices, which benefits independent venues.
Sam Fender also took part, raising in excess of £100,000 on his live tour to support thirty-eight local spots across the UK.
The donation helped spaces that were dealing with potential shutdown due to issues caused by water damage, blazes and bereavements, as well as licensing issues, court cases and sound issues.
Some locations obtained funding support in upgrading amenities and sound and lighting systems that directly benefitted artists and concertgoers.
"The idea that money from shows in large arenas supports the independent spots, where it begins for performers like me, is just common sense," Fender has said.
He is not the first artist to donate his Mercury Prize prize money to worthy causes.
Back when the band received the trophy in the year 1996 for their record the album, lead singer Cocker announced that the band would contribute their cash to the organization War Child.
That year, rapper and singer the artist divided her prize across several good causes, like the NSPCC and a Sickle Cell charity.
"I also contributed a grand to my local community centre, to their gymnastics class, because I practiced gymnastics when I was growing up and they needed new equipment," Ms Dynamite shared with the media.
In recent years, the band donated their prize money to the youth organization that nurtured their act, alongside other local music groups.
Also winners that year M People gave their winnings to a charity for MS after a acquaintance was diagnosed the condition.
"Receiving the award was quite enough," said singer Small. "The cash was the bonus but we didn't require the bonus, because we had the main prize. So our winning affected the lives of others."
In the past week, the Music Venues Trust announced it had rescued several local spots in south-east England, by placing them under local control.
The Joiners in the city and the other in the city were bought under the community ownership scheme, which is backed by a national body and supporters who purchase "stakes" in the properties.