In 1998, changes in a number of indicators (earthquakes and uplift) at two of New Zealand's active volcanic caldera systems (Okataina and Taupo) resulted in increased public, local and central government awareness and some concern about the potential significance of volcanic unrest at a caldera volcano. This paper summarises the episodes of unrest recorded at Taupo caldera since 1895. There have been four significant events (1895, 1922, 1963-64 and 1983) that have included earthquake activity and ground deformation. Caldera unrest is one of the most difficult situations the volcanological and emergency management communities will have to deal with. There is potential for adverse social and economic impacts to escalate unnecessarily, unless the event is managed appropriately. Adverse response to caldera unrest may take the form of the release of inappropriate advice, media speculation, unwarranted emergency declarations and premature cessation of economic activity and community services. A non-volcanic-crisis time provides the best opportunity to develop an understanding of the caldera unrest phenomena, and the best time to establish educational programmes, funding systems for enhanced emergency response and volcano surveillance and to develop co-ordinated contingency plans.