Urban Regeneration Bill: Where Do We Stand?

The Urban Regeneration Bill has faced – and continues to face – a number of challenges. In 2019, the Draghi government introduced the issue with an initial draft focused on reducing land consumption, promoting the reuse of brownfield sites, and simplifying redevelopment procedures. This was the first attempt to establish a comprehensive framework law on environmental and urban regeneration.

In 2024, a milestone was reached with the Senate’s approval of a consolidated draft bill, which incorporated the various contributions gathered during the legislative process. Particular attention was given to the proposal submitted in October 2022, shortly after the Meloni government took office, with PD MP Mirabelli as the lead sponsor.

What the August 2025 Consolidated Draft Provides 

In the summer of 2025, a turning point was reached with the introduction in the Senate of a more comprehensive proposal. The new draft envisages volumetric bonuses of up to 30% for demolition and reconstruction projects, relocation measures for buildings exposed to hydrogeological risks, and the establishment of a €3.4 billion fund covering the period 2026–2037. It also provides tax incentives and, more broadly, places greater emphasis on achieving zero net land take and addressing climate change. Compared with the 2024 version, the new text contains fewer blanket exemptions and pays closer attention to the quality of individual projects, aiming to deliver a structural solution that is both effective and environmentally sustainable.

This revised version is not intended merely to amend building and planning regulations. Rather, it seeks to integrate new urban policies into the country’s broader development framework, placing the existing urban fabric at the centre of public action as an asset to be regenerated and made more resilient. The focus extends beyond interventions on individual buildings to include policies aimed at social and functional integration, as well as environmental and landscape protection.

The financial dimension represents the core of the reform. As noted above, the proposal establishes a €3.4 billion fund, allocating €100 million in 2026 and €300 million annually thereafter through 2037. The fund is intended to finance preliminary studies, project design activities, public infrastructure works, urban greening initiatives and climate adaptation measures, as well as demolition and redevelopment projects. It would also cover the temporary relocation costs of families during construction works.

To qualify for the national fund, projects must meet at least two of the following criteria:

• Achievement of Energy Class A standards and use of renewable energy sources
• Seismic upgrading and structural improvement measures
• Expansion of urban green areas, increased soil permeability, and urban forestry initiatives
• Inclusion of public and social housing components (ERP/ERS)
• Provision of community-oriented shared spaces, such as co-working facilities and social, educational, or cultural services
• Completion and recovery of unfinished developments
• Removal of architectural barriers and adoption of universal design principles (“Design for All”)

The proposal also introduces streamlined administrative procedures which, as is well known, often stifle even the most firmly rooted ambitions. These include inter-agency conferences with mandatory opinions to be issued within 60 days, the application of the principle of tacit consent, declarations of public utility for urban regeneration plans, and targeted exemptions concerning parking requirements, such as reductions of up to 90% in areas adequately served by public transport.

For industry professionals, it is understood that these measures are expected to create new design opportunities, requiring the integration of multidisciplinary expertise and the involvement of a broader range of actors in the process, including neighbourhood committees, territorial partnerships, and other community stakeholders. We welcome these proposals, viewing the legislative initiative as a tool that validates the path we have pursued for some time as a company and which finds its fullest expression in a transdisciplinary approach to design.

The next stages of the bill are expected after the summer, although they are likely to prove contentious. Due to the social and territorial implications of the measure, the proposal must address the differing needs of distinct levels of local government – municipalities, provinces, and regions – as well as the interests of a diverse range of stakeholders, including design firms, construction companies, and citizens’ committees. Nevertheless, all parties are united by a common objective that can no longer be postponed.

Enzo Zogno
Engineer | Associate DVArea | Head of Urban planning & Building permits Dept.