Sam Fender has given the full amount of his £25,000 award winnings to the trust for venues, which functions to preserve the Britain's small live music spots.
He was given the award on October 16 as his latest record People Watching was chosen as the outstanding release of the past year.
He has opted to hand the money over to the MVT, in recognition of the crucial part local spots fulfilled in his early career.
"As an artist couldn't be pursuing what I am doing today if it wasn't for all the performances I performed around the North East, and elsewhere, when I was just getting going," remarked the artist. "These venues are iconic, but they are struggling."
Beginning in 2023, more than 150 of these locations have permanently closed – approximately 16% of the whole industry in the UK.
In the last year, top acts like the band Pulp, the group Coldplay, the singer Katy Perry and Ed Sheeran have all aided the MVT in its efforts to support the industry, by including a modest fee to their ticket costs, which goes to help local stages.
Fender also took part, generating over £100k on his live tour to assist 38 grassroots venues across the UK.
The money helped venues that were confronting imminent closure due to issues stemming from flooding, fires and personal losses, as well as regulatory hurdles, conflicts and sound issues.
Other venues obtained monetary aid in modernizing amenities and gear that helped artists and concertgoers.
"The concept that money from shows in large arenas backs the local stages, where it begins for performers like me, is just logical," Sam Fender has stated.
Fender is far from the only musician to donate his Mercury Prize winnings to good deeds.
Back when they won the award in the mid-90s for their album their work, lead singer Jarvis Cocker stated that the act would contribute their prize money to the non-profit War Child.
During 2002, musician Ms Dynamite divided her award between several organizations, such as the NSPCC and a Sickle Cell charity.
"And I donated a thousand pounds to Highgate Newtown, to their classes, because I practiced gymnastics when I was younger and they lacked better apparatus," Ms Dynamite explained to a publication.
In recent years, they contributed their winnings to the youth organization that developed their act, alongside other independent music bodies.
And the 1994 recipients the group donated their award to a MS organization after a close contact was diagnosed the disease.
"Receiving the award was sufficient," remarked vocalist Small. "The prize was the extra but we didn't require the bonus, because we had the cake. So our success impacted the lives of others."
In the past week, the trust announced it had saved a couple of small stages in the South East, by transferring them to community ownership.
The Joiners in the city and The Croft in Bristol were acquired under the community ownership scheme, which is backed by a national body and music fans who purchase "shares" in the properties.