The Second Chance Project, set up last summer at Ashfield Young Offenders Institution (YOI) in Bristol, uses sports including football, cricket, rugby and boxing to engage and educate young people.
It aims to find young people sport-related work or training once they leave Ashfield.
Out of 153 young people on the initial phase of the project, only six (four per cent) reoffended on release.
The reoffending rate compares favourably to the national figure of around 70 per cent.
It also comes in below reoffending rates for a pilot intensive fostering scheme in Hampshire, which stand at around 28 per cent since it launched in 2005.
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