François Bayrou and Félix Braz, the French and Luxembourg justice ministers, are seen during a European justice ministers meeting in Luxembourg, on 8 June 2017, where EU ministers voted to headquarter the new European Public Prosecutor’s Office in the grand duchy. MJUST

François Bayrou and Félix Braz, the French and Luxembourg justice ministers, are seen during a European justice ministers meeting in Luxembourg, on 8 June 2017, where EU ministers voted to headquarter the new European Public Prosecutor’s Office in the grand duchy. MJUST

Luxembourg beat out The Hague, home to Eurojust, during a European Council vote on Thursday.

According to a council press statement:

“The EPPO will have the authority, under certain conditions, to investigate and prosecute EU-fraud and other crimes affecting the union’s financial interests. It will bring together European and national law-enforcement efforts to counter EU fraud.”

So far, 20 EU countries have signed up as members of the EPPO under the “enhanced cooperation” mechanism that does not require all EU members to participate.

The Netherlands, Sweden, Malta, Hungary and Poland are not participating (the U.K., Ireland and Denmark have an automatic opt-out from EU justice initiatives).

It was first proposed in 2000 but has been delayed by discussions about potential EU interference in national criminal justice systems.

The EPPO will have a remit to investigate and prosecute fraud and corruption relating to the EU budget and, significantly, cross-border VAT fraud, which costs countries in the bloc an estimated €50 billion a year.

The prosecutor’s office is expected to begin operations in 2018 or in early 2019.

Its precise location within Luxembourg was not confirmed. However, Félix Braz, the grand duchy’s Green justice minister, said in an announcement on 8 June:

“Luxembourg authorities can already guarantee that the European Public Prosecutor’s Office will have, in good time, the modern infrastructure needed to effectively carry out its tasks.”

The EPPO is expected to employ 115 people at its central office in Luxembourg, Paperjam reported. Additional staff will also be posted in member states.