Jersey etc stolen by a European back in Italian city (7)
I believe the answer is:
brescia
'italian city' is the definition.
(I've seen this before)
'jersey etc stolen by a european back' is the wordplay.
'jersey etc' becomes 'ci' (abbreviation for Channel Islands).
'stolen by' means one lot of letters goes inside another.
'european' becomes 'serb' (I've seen this before**).
'back' is a reversal indicator.
'a'+'serb'='aserb'
'aserb' written backwards gives 'bresa'.
'ci' going within 'bresa' is 'BRESCIA'.
'in' is the link.
(Other definitions for brescia that I've seen before include "somewhere in Lombardy" , "somewhere in Italy" , "Lombardy city; ascribe (anag.)" , "Ascribe (anag) - Italian city" .)