The artist has given the full amount of his £25k honor cash to the trust for venues, which operates to protect the UK's grassroots music venues.
The star was presented with the prize on 16 October as his latest record People Watching was chosen as the best record of the last 12 months.
Fender has decided to donate the funds to the MVT, in acknowledgment of the vital role local spots had in his early career.
"I would not have achieved this success if it wasn't for all the shows I did around the North East, and further afield, when I was starting out," said Fender. "These venues are legendary, but they are struggling."
Since the start of 2023, at least 150 of these locations have shut down – roughly one-sixth of the whole industry in the UK.
Over the past year, major artists such as the band Pulp, the group Coldplay, the singer Katy Perry and Sheeran have all backed the trust in its attempts to keep the scene afloat, by including a minor surcharge to their ticket costs, which supports smaller concert halls.
Fender also participated, generating more than £100,000 on his recent tour to assist thirty-eight local spots across England, Scotland, and Wales.
These funds helped spaces that were facing potential shutdown due to issues arising from floods, blazes and family tragedies, as well as licensing issues, legal disputes and noise complaints.
Additional spaces obtained funding support in improving amenities and technical equipment that helped artists and concertgoers.
"The notion that money from shows in big venues supports the local stages, where it all starts for performers like me, is just common sense," Fender has commented.
Fender is not the first artist to donate his award funds to good deeds.
In the band earned the trophy in the mid-90s for their album their work, lead singer the singer declared that the group would donate their winnings to the charity War Child.
During 2002, artist she shared her prize between several good causes, such as the children's charity and a Sickle Cell organization.
"Additionally, I contributed a grand to Highgate Newtown, to their gymnastics class, because I did gymnastics when I was younger and they needed new equipment," she shared with outlets.
Previously, Ezra Collective donated their funds to the local youth club that supported their act, in addition to other grassroots music organisations.
Also winners that year M People contributed their award to a charity for MS after a friend was identified with the disease.
"The victory was sufficient," stated vocalist Small. "The cash was the extra but we could do without the bonus, because we had the cake. So our winning affected somebody else's life."
Recently, the MVT revealed it had protected a couple of grassroots venues in south-east England, by placing them under public stewardship.
The Joiners in the city and the second in that location were purchased under the community ownership initiative, which is backed by Arts Council England and music fans who buy "stakes" in the properties.
