Sam Fender has given the complete sum of his £25k award cash to the MVT, which works to save the UK's grassroots music venues.
The star was awarded the prize on 16 October as his new release the album was declared the top album of the last 12 months.
Fender has opted to hand the money over to the trust, in recognition of the crucial part grassroots venues fulfilled in his initial steps.
"I would not have achieved my current career if it hadn't been for all the shows I performed around the North East, and beyond, when I was beginning," stated the artist. "These spaces are iconic, but they are facing challenges."
From early 2023 onward, at least 150 of these venues have permanently closed – approximately 16 percent of the entire UK sector.
In the last year, well-known musicians including the band Pulp, Coldplay, Katy Perry and Ed Sheeran have all supported the MVT in its attempts to keep the scene afloat, by including a modest fee to their ticket costs, which benefits smaller concert halls.
He also participated, generating in excess of £100,000 on his live tour to help 38 small stages across the UK.
These funds supported locations that were dealing with possible closure due to challenges caused by floods, fires and bereavements, as well as permit problems, court cases and neighbor objections.
Some locations were granted monetary aid in modernizing facilities and technical equipment that helped performers and concertgoers.
"The idea that funds from concerts in major spaces backs the independent spots, where it kicks off for artists like me, is just sensible," Sam Fender has said.
The musician is among several artists to contribute his Mercury Prize winnings to worthy causes.
When they received the award in 1996 for their release the album, vocalist Cocker declared that the group would donate their prize money to the charity War Child.
During 2002, musician Ms Dynamite split her bounty between multiple good causes, such as the children's charity and a charity for Sickle Cell.
"And I donated a £1,000 to my local community centre, to their gymnastics program, because I did gymnastics when I was a child and they required updated gear," the artist explained to a publication.
Two years ago, they gave their funds to the local youth club that developed their group, in addition to other independent music bodies.
Also the 1994 recipients the group donated their award to a charity for MS after a friend was diagnosed the disease.
"The victory was ample," said singer Small. "The cash was the cherry on top but we didn't require the extra, because we had the cake. So our victory touched somebody else's life."
In the past week, the trust shared it had saved several small stages in that region, by transferring them to community ownership.
The first in Southampton and The Croft in the city were purchased under the community ownership program, which is backed by a national body and supporters who acquire "stakes" in the properties.