The 61-year-old Nicklaus will be playing in the Championship for the first time while Palmer returns to Europe to compete in the event for the ninth time, the last being in 1995.
'I have never had the opportunity to participate in this event and I have always wanted to play Royal County Down,' said Nicklaus. 'I am very much looking forward to it.'
Player has played in every Senior British Open beginning in 1987. He won the event three times in 1988, 1990 and 1997.
Last year Christy O'Connor Jr. shot nine-under-par to successfully defend his title.
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