Luxembourg faces dwindling odds of hosting EBA

Luxembourg is facing dwindling odds of becoming the new seat of Europe's banking regulator, as Vienna and Frankfurt emerge as the frontrunners ahead of a decision on Monday.

Luxembourg is among eight cities vying to host the European Banking Authority (EBA), which must relocate from London after Britain leaves the European Union.

According to The Sunday Times, Vienna has "the edge" with a relocation to the Austrian capital viewed as a symbolic prize for the continent's "eastern fringe".

However, the paper reported Germany was also "confident" it would win-out with a relocation to Frankfurt.

The vote at a meeting of the European council on Monday will decide the agency's future location through a secret ballot of member states.

Luxembourg had offered to house the EBA rent free in a 4,200 square metre building on the Route d'Arlon.

Betting firm Ladbrokes put Luxembourg's odds of hosting the banking regulator at 25/1 on Sunday – joint bottom with Brussels.

Frankfurt come out on top on the betting website, followed by Vienna, then Dublin, Paris, Prague and Warsaw.

The fate of the European Medicines Agency will also be decided on Monday, with a further 19 European cities competing to become its new seat.

(Hannah Brenton, hannah.brenton@wort.lu, +352 4993 728)