It would be nice if there could be a reduction in the actual crime rate rather than merely in the 'sentenced to prison' rate. Prison, while perhaps originally intended to be rehabilitative, rarely is. The overcrowding suggests a need for other forms of sentences. Personally I'd be interested to see more options for limitation on freedom than merely prison, which requires ridiculous amounts of resources.
Fines, community service, work farms, and a few other forms might reduce the prison population in the future, but might require additional resources in the short term. They might also require some stricter controls on who is eligible for social benefits. There are no easy answers. Almost any form of consequence limits the convict's financial prospects, which in turn leads either to reliance on handouts, or theft. Although I wouldn't advocate for it now, I can see why the OT law makes sense. Dead people cost the society very little, and aren't likely to re-offend.