Since 1976, New South Wales has experienced a rapid growth in the total number of persons arrested, followed by congestion in courts and prisons. Although there have been increases in court capacity at both local and higher criminal court levels, the increases have not been sufficient to meet the demand on the courts. Prisons, which have no option but to accept immediately those sent by the courts, inevitably become overcrowded. Court congestion can be reduced by increasing the speed and efficiency with which cases are moved through the courts. Whatever strategy is used to deal with court and prison congestion, close monitoring of the demand on and the capacity of the court and prison system is crucial if congestion is to be avoided. New criminal justice information systems and the ability to forecast demand on the criminal justice system are crucial adjuncts of monitoring. Decisions on resource investments should consider data from victimization surveys as well as reported crime statistics. 24 notes, 6 figures, 7 tables.