In an effort to reduce jail congestion, Justice Secretary Shabana Mahmood will introduce the study on Tuesday.
The inquiry, which will be headed by former Conservative justice secretary David Gauke, will begin on the same day that the government plans to release almost 1,100 prisoners early in order to free up jail space.
According to recent statistics, prisons in England and Wales currently have just over 2,000 open spots, and by July, they are predicted to approach critical capacity once more.
Mr. Gauke will look into harsher penalties outside of jail while making sure the system has enough space to house the most dangerous inmates.
Community punishments and penalties will be considered as alternatives.
Techniques from other nations, such as the US, where Texas has reduced sentences by using good behavior credits, are being evaluated for inspiration.
The assessment will also include home detention curfews, nudge technology, and sobriety tags, which employ apps and watches to persuade criminals to follow rules.
