The proposal to expand the competition was put forward by the Scottish Football Association and Football Association of Ireland last year.
The new format will mean fewer countries will have the capacity to host the tournament but it is believed the 53 member nations are unanimously in favour of the change.
"I think the expansion will be better for the game - more teams will have the chance of qualifying and the excitement of the groups will go on for longer," said Scottish FA chief executive Gordon Smith.
"It is disappointing in that it means we will not be able to stage the tournament in the future, and we recognise that will be the case.
"It was a trade-off between trying to stage it or open up the qualification process and we have decided to look at something that helps everybody."
Spain emerged victorious at Euro 2008 earlier this year at a tournament where there was no presence from the home nations.
The expanded version should mean it is easier for Scotland and other home nations to qualify but Smith added: "It will make it easier for other countries such as England who failed to qualify for Euro 2008.
"We didn't do it specifically for that purpose however."
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