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Economic and fiscal aspects of brownfield regeneration in Czechia: Cost structures and policy implications

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  • Jaroslav Skrabal
  • Michal Tvrdon
  • Michal Krajnak
  • Martina Pavlackova

Abstract

Brownfield regeneration has become an important component of regional development policy in Czechia, yet little is known about how financing structures shape the outcomes of such investments. This study examines how project costs, end uses and regional conditions influence the distribution of EU co-financing across Czech NUTS3 regions. Drawing on project-level data from two programming periods (2014–2020 and 2021–2027), we analyse patterns in public and private participation and the fiscal role of EU funds. The results show that public actors consistently secure higher EU contributions, while total project costs do not systematically differ from those of private beneficiaries. We also find that higher project costs are associated with lower EU co-financing in 2014–2020, suggesting a disciplining effect of grant rules, although this pattern has not yet emerged in the current period. Disadvantaged regions tend to rely more heavily on EU transfers, whereas stronger regions mobilise greater private resources. These findings highlight the role of EU cohesion policy as both an investment instrument and a fiscal governance mechanism with implications for long-term regional sustainability.

Suggested Citation

  • Jaroslav Skrabal & Michal Tvrdon & Michal Krajnak & Martina Pavlackova, 2026. "Economic and fiscal aspects of brownfield regeneration in Czechia: Cost structures and policy implications," Local Economy, London South Bank University, vol. 40(3), pages 213-237, June.
    • Handle: RePEc:sae:loceco:v:40:y:2026:i:3:p:213-237
    DOI: 10.1177/02690942261447710
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