A settlement used to exile prisoners and separate them from the general populace is termed a penal colony. These colonies served as a form of punishment, often involving forced labor and harsh living conditions in remote or underdeveloped regions. Australia, during the 18th and 19th centuries, is a prominent example, initially established by the British to relieve overcrowding in their prisons.
The establishment of such settlements had significant implications, offering a means for colonizing new territories while simultaneously removing individuals deemed undesirable from the home country. They contributed to the development of infrastructure and agriculture in the colonized regions, albeit through the exploitation of convict labor. Furthermore, the presence of these settlements profoundly impacted the indigenous populations, leading to displacement, conflict, and cultural disruption.