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This paper presents the key themes which characterise youth justice in England and Wales, focusing on recent key developments in youth justice policy and the subsequent impact on youth justice services. Reductions in the use of custody and increased diversion from the formal youth justice system appear to have reversed the previous upward trend of punitive interventionist approaches. This paper will explore the impact of this shift on youth justice practice, particularly the youth custodial population, multi-agency working, and the continued use of risk-based assessment tools. In addition, the paper will consider the changing governance of youth justice in England and Wales which promotes a child-centred, inclusionary approach, but risks a fragmented, non-integrative, adult-centric approach to children and young people who offend.