The Battle of Náchod the previous day (27 June 1866) set the scene for Steinmetz to advance on Skalitz (Česká Skalice) where he defeated Archduke Leopold.
Having been beaten the previous day by Steinmetz at Náchod, the Austrians had regrouped at the Aupa heights near Skalice, a town with only one bridge over the Úpa river.
Benedek, having reached the field and scouted the terrain, decided by 11:00 am to abandon any thought of counterattacking the Prussians with the combined VI, VIII and IV Corps, resumed his march towards Jičín, and ordered the VIII Corps to abandon Skalice if by 2:00 pm no serious battle had started.
Kreyssern was killed during the fire fight and his brigade collapsed, enabling the Prussians to reach Skalice's railway station.
At 2:15 pm, recognizing the danger of being cut off from his lone bridge, Archduke Leopold ordered VIII Corps to retreat, which turned into a headlong flight.