The star has given the entirety of his £25,000 honor prize money to the trust for venues, which works to protect the UK's grassroots live music spots.
He was awarded the prize on 16 October as his new release People Watching was chosen as the top album of the past year.
The musician has opted to hand the money over to the MVT, in appreciation of the crucial part local spots had in his beginning days.
"I couldn't be pursuing this success if it hadn't been for all the shows I performed around the region, and elsewhere, when I was starting out," stated the artist. "These locations are iconic, but they are struggling."
Since the start of 2023, at least 150 of these locations have shut down – approximately 16 percent of the total UK scene.
Over the past year, major artists like Pulp, Coldplay, the singer Katy Perry and Ed Sheeran have all aided the trust in its efforts to keep the scene afloat, by adding a modest fee to their ticket costs, which supports local stages.
He also participated, generating over £100k on his live tour to assist 38 grassroots venues across England, Scotland, and Wales.
The money helped locations that were dealing with imminent closure due to difficulties stemming from flooding, blazes and family tragedies, as well as permit problems, court cases and sound issues.
Other venues were granted funding support in improving facilities and technical equipment that positively impacted musicians and fans.
"The notion that money from concerts in large arenas backs the independent spots, where it begins for musicians like me, is just logical," the star has said.
Fender is far from the only musician to donate his honor funds to charitable organizations.
Back when the band received the prize in the year 1996 for their release the album, vocalist Jarvis Cocker stated that the band would contribute their winnings to the organization the charity.
During 2002, artist Ms Dynamite divided her award between a few organizations, like the NSPCC and a Sickle Cell charity.
"And I contributed a thousand pounds to the center, to their gymnastics class, because I did gymnastics when I was growing up and they required updated gear," the artist told a publication.
In recent years, they contributed their prize money to the community center that nurtured their group, as well as other independent music bodies.
Also the 1994 recipients they contributed their prize to a charity for MS after a close contact was diagnosed the condition.
"The victory was sufficient," remarked vocalist the singer. "The money was the cherry on top but we could do without the cherry, because we had the honor. So our winning affected another person's life."
Last week, the trust revealed it had saved two local spots in that region, by placing them under community ownership.
The Joiners in Southampton and the other in that location were acquired under the community ownership scheme, which is supported by a national body and enthusiasts who buy "shares" in the venues.