Veteran musician Paul Weller tipped for Mercury Prize

Chart veteran Paul Weller will tonight take on past winner Dizzee Rascal and hotly-tipped acts such as The xx to claim the Barclaycard Mercury Prize.

The award - to be handed out at a star-studded event tonight - is given to the outstanding album of the past year.

Weller, nominated for the prize for the first time in 16 years with Wake Up The Nation, had his odds slashed after a wave of hundreds of bets placed over the weekend.

Bookmaker William Hill, which now has the Modfather as 1-10 favourite, reckons it is based on hope rather than any inside knowledge.

"We feel that the gamble is based on a sentimental belief that Paul was robbed back in 1994 and the judging panel will attempt to right that wrong this year," said Hill's spokesman Rupert Adams.

Other hotly tipped nominees are London trio The xx, and Dizzee, who won the title in 2003.

The 12-strong shortlist features two bands which landed their first nominations five albums into their careers - Scots rockers Biffy Clyro and Manchester's I Am Kloot.

Nominees also include a couple. Laura Marling - shortlisted for a second time for latest album I Speak Because I Can - is dating Marcus Mumford, frontman of Mumford & Sons who are nominated for debut release Sigh No More.

Dizzee, whose career soared in recent years, first won the Mercury with debut release Boy In Da Corner in 2003. This latest nomination for Tongue N' Cheek is his third in only four albums, as he was also listed in 2007 for Maths + English.

Weller, 52, was only once nominated for the Mercury since its 1992 launch.

His second solo release, Wild Wood, was shortlisted in 1994, losing out to M People's Elegant Slumming on the night.

Despite being in his 50s, Weller is by no means the oldest Mercury nominee - jazz pianist Stan Tracey was 66 when his album Portraits Plus was included in 1993.

Established names on this year's list also include Corinne Bailey Rae - whose album The Sea deals with how she coped following the death of her husband.

Kendal quartet Wild Beasts - noted for Hayden Thorpe's unusual countertenor singing voice - and Oxford's Foals are both shortlisted for second albums.

I Am Kloot's album Sky At Night was produced by 2008 winner Elbow's Guy Garvey and Craig Potter.

As well as a £20,000 prize, the award can be an invaluable method of raising awareness for shortlisted acts and many see a huge sales boost.

However, last year's winner, Speech Debelle, bucked the trend and failed to strike a chord with the music-buying public. Her album Speech Therapy has still to dent the top 40.