This paper examines the current and future status of Pécs, an ECoC title-holder for 2010. Obviously, the title alone cannot regenerate the city and region; industries other than culture are needed to support a well-functioning city and region. To achieve this, an understanding or acceptance of the principles of decentralisation and multi-polar development (a basic principle of EU Cohesion Policy) is needed. Unfortunately, in Hungary even the National Development Plan has failed to address itself adequately to the concept of a national regional structure - still less to decentralised development - in spite of loud, clear signals from the EU.