Victoria Deputy Commissioner Bob Hill's dire prediction follows revelations the total number of criminal acts in the nation's second most populous state increased 15 per cent to more than 605,000 offences in 2024.
Its crime rate has reached an almost decade high, with 8691 offenders per 100,000 people, according to statistics released on Thursday. Victoria Police made more than 200 arrests per day on average - the highest number since records began in 1993.
Mr Hill said the overall level of criminality was "totally unacceptable".
Crimes committed by children aged 10 to 17 are at their highest in four decades, with 24,550 incidents amounting to a 16 per cent increase year-on-year.
Police processed 7414 child offenders 24,550 times in 2024, making juvenile recidivism the key behind the overall crime increase.
"In simple terms, there are less children committing crime but those who continue to offend are doing so more frequently," Victoria Police said.
A hardcore group of young offenders aged between 14 and 17 is also responsible for a sharp record rise in home invasions.
A police operation found 20 of the worst offenders committed 302 aggravated burglaries where a car was stolen in 2024.
There were 27,522 incidents of youth offending by those aged 18 to 24, an increase of 14 per cent.
Mr Hill said tougher bail laws, set for upper house debate and a vote on Thursday, will result in a "significant" decline in offending.
"Those people do not deserve their freedom. Those people should be incarcerated ... and held to account," he said.
But the delay to those laws taking effect will mean more victims, the deputy commissioner warned.
"We'll see more communities being terrorised, we'll see more people being injured potentially, and we'll see more people potentially being killed," Mr Hill said.
"The bail laws need to be implemented as soon as possible."
Opposition Leader Brad Battin said home invasion victims had lost more than a TV or car.
"They lose the freedom to feel safe in their own home," he said.
He pointed out aggravated burglaries were up 169 per cent since Labor came to power in late 2014, accusing the government of failing to act.
But Police Minister Anthony Carbines denied it could have done so sooner with harsher bail laws.
He defended removing remand as a last resort for children, saying it was too often being used as a "get out of jail free card".
Theft was the fastest-growing crime, with incidents increasing more than one-third as criminals target vehicles and licence plates to commit further serious crimes.
Retail theft reached record levels in 2024 as people resort to stealing groceries and clothing while cost-of-living pressures bite. Stealing of petrol, wallets and phones also rose.
Mr Carbines acknowledged the tough economic times but said it wasn't a "leave pass" to steal.
Theft offences can be opportunistic in nature, Crime Statistics Australia chief statistician Fiona Dowsley said.
"It may be linked to cost-of-living pressures, especially for increases in shoplifting where increases are linked to adult offenders often in their 30s," she said.
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