Muse and Arctic Monkeys have been tipped as the hot favourites to win this year's (06) Nationwide Mercury Music Prize after nominations were announced in London this morning (18JUL06). The 12 acts in the running for the prestigious UK/Irish award and GBP20,000 ($36,000) prize money were revealed by British jazz legend Jools Holland, and were picked from records of all genres released between July 2005 and July 2006. Other nominees up for Album of the Year include Editors, Sway, Hot Chip and Radiohead frontman Thom Yorke for his solo effort THE ERASER. Every act will be honoured at the awards show on 5 September (06) ahead of the overall winner announcement. Last year (05) ANTONY + THE JOHNSON's walked away with the prize for their album I AM A BIRD NOW and the largely unknown group saw record sales soar. Franz Ferdinand and Dizzee Rascal are also former winners. The full shortlist is: ARCTIC MONKEYS - WHATEVER PEOPLE SAY I AM THAT'S WHAT I'M NOT Isobel Campbell + MARK LANEGAN - BALLAD OF THE BROKEN SEAS EDITORS - THE BACK ROOM GUILLEMOTS - THROUGH THE WINDOWPANE RICHARD HAWLEY - COLES CORNER HOT CHIP - THE WARNING MUSE - BLACK HOLES AND REVELATIONS ZOE RAHMAN - MELTING POT LOU RHODES - BELOVED ONE SCRITTI POLITTI - WHITE BREAD, BLACK BEER SWAY - THIS IS MY DEMO THOM YORKE - THE ERASER.