Lower, Mark A (1860) Patronymica Britannica: a dictionary of the family names of the United Kingdom. London: J.R. Smith. Public Domain.
FAIRY
As described in historical dictionaries
Patronymica Britannica (1860)
FAIRY. FAIREY. A-Sax.tf??- and ;g-. ' Fair-island,' a local name. This surname which occurs in the Kegistrar-General's list has therefore no connection with Queen Mab, Puck, Eobin Goodfellow, or any of their family.