Sam Fender has handed over the full amount of his £25k honor winnings to the trust for venues, which operates to protect the United Kingdom's grassroots concert spaces.
He was given the prize on October 16 as his latest record his work was declared the top album of the last 12 months.
Fender has opted to give the cash to the Music Venues Trust, in appreciation of the vital role grassroots venues had in his initial steps.
"As an artist couldn't be pursuing what I am doing today if it wasn't for all the gigs I performed around the region, and elsewhere, when I was starting out," said the artist. "These locations are renowned, but they are facing challenges."
From early 2023 onward, more than 150 of these locations have permanently closed – roughly one-sixth of the entire UK sector.
In the last year, well-known musicians such as Pulp, the group Coldplay, Katy Perry and Ed Sheeran have all backed the trust in its initiatives to keep the scene afloat, by applying a modest fee to their ticket prices, which goes to help independent venues.
Sam Fender also joined in, raising over £100k on his live tour to assist 38 grassroots venues across Britain.
These funds supported spaces that were facing possible closure due to challenges caused by flooding, blazes and family tragedies, as well as permit problems, court cases and neighbor objections.
Some locations obtained funding support in improving facilities and sound and lighting systems that directly benefitted performers and fans.
"The concept that funds from concerts in large arenas helps the independent spots, where it all starts for musicians like me, is just sensible," the star has stated.
Fender is far from the only musician to contribute his Mercury Prize funds to worthy causes.
Back when the band earned the trophy in the year 1996 for their album Different Class, lead singer the singer declared that the act would give their prize money to the charity War Child.
During 2002, musician she split her bounty across a few charities, like the NSPCC and a charity for Sickle Cell.
"Additionally, I donated a grand to Highgate Newtown, to their gymnastics program, because I practiced gymnastics when I was growing up and they needed new equipment," Ms Dynamite told a publication.
Previously, the band contributed their prize money to the community center that developed their act, in addition to other local music groups.
Additionally 1994 winners M People gave their prize to a charity for MS after a close contact was found to have the illness.
"Receiving the award was quite enough," said artist Small. "The money was the bonus but we didn't require the bonus, because we had the main prize. So our success touched the lives of others."
In the past week, the trust revealed it had protected two small stages in south-east England, by placing them under local control.
One venue in Southampton and The Croft in Bristol were purchased under the Own Our Venues initiative, which is supported by a national body and enthusiasts who purchase "ownership units" in the buildings.