Convicted London joiner and carpenter James Gough (1790–1876) who arrived on the Earl Spencer in 1813 and gained his conditional pardon in 1821, was awarded the construction of Berrima Gaol in partnership with John Richards in 1834; much of the construction work was done by convicts in irons.

The design was adopted by the Governor, Richard Bourke, from a Society for the Improvement of Prison Discipline pamphlet.

Conditions at the gaol were harsh; prisoners spent most of their days in cells and the only light was through a small grate set in the door.

Another of the notable trials held in the nearby Berrima Court House was that of Lucretia Dunkley and her lover Martin Beech.

In 1877 a Royal Commission was held to investigate allegations of cruelty by the prison authorities, but the complaints were not upheld.

Most inmates were permitted to work outside of the Centre on the local market gardens managed by Corrective Services NSW.

In the 2011 NSW State Budget, the Government announced that the centre would be closed, which took effect on 4 November 2011.

[1][9] The Centre was re-opened on 27 September 2016 as part of a statewide initiative to add 1400 beds to the New South Wales prison population.

[3] Berrima Correctional Centre was listed on the New South Wales State Heritage Register on 2 April 1999.