While functional neuroimaging studies on attention and executive function in schizophrenia have reported several functionally aberrant cortical regions, less is known about the relationship of cognitive impairment and regional volume alterations. In order to investigate the relationship between cognitive impairment and structural alterations, we studied healthy control subjects and partially remitted, medicated inpatients with DSM-IV schizophrenia using voxel-based morphometry (VBM) and a standardised neuropsychological test battery. Schizophrenic patients showed reduced grey matter (GM) density in the bilateral temporal cortex, the left inferior parietal lobule, the cingulate gyrus and the left middle frontal gyrus. Reduced GM volume was additionally found in the left hippocampal gyrus and the right superior frontal cortex. Reduced white matter density was found in the posterior corpus callosum. Structure-cognition regression analyses revealed that decreased GM density of the left inferior parietal and the right middle temporal cortex was associated with worse performance during divided attention. Worse performance during the spatial span was associated with volumetric abnormalities of the hippocampal gyrus. These results indicate that regional abnormalities in brain structure may offer an account for some impaired cognitive domains in patients with schizophrenia, while other cognitive domains may remain relatively less affected by volumetric alterations.