Support measures for Canberra renters facing financial hardship due to the COVID-19 pandemic have been extended for a further two months.
Tenants who were rent arrears due to the economic impact of the pandemic will now have until 30 June 2021 to repay any outstanding debt. The deadline for the payments to be made was initially set to run out at the end of January but was extended until April and now further extended until June.
Landlords will not be able to evict tenants in arrears during the two-month extension; however, renters will still have to pay their rent as it falls due during the transition period.
The transitional measures also allow COVID-19 impacted tenants in fixed-term leases to end their leases early and without penalty if they need to move due to a change in their circumstances.
"We know the past year has been really tough on ACT residents who have lost their incomes and livelihoods due to COVID-19," Attorney-General Shane Rattenbury said. "Many Canberrans were also thrown into poverty when the Federal Government cut JobSeeker payments last month.
"We want to give tenants who are experiencing financial hardship more time to get back on their feet, repay their debts and stay in their homes, which is why we have provided a further two-month extension.
"We want to ensure that those Canberrans who are now starting to find their feet after a difficult 2020 are not knocked back over by having to pay back their debt all at once.
"At the end of the moratorium period tenants will still be required to pay this back, but with JobSeeker payments ending, these two extra months to settle their debts can make a world of difference for vulnerable Canberrans."
Executive Director of Better Renting Joel Dignam said extending the reprieve will make a huge difference to ACT residents who lost incomes due to the pandemic.
"This is good news for the thousands of ACT renters who are still coming to terms with the effects of COVID-19," Mr Dignam said.
"Canberra's rental market is currently incredibly tough, with a lot of competition for a small number of vacant properties. These support measures will help those tenants still recovering from COVID-19."
The extension of the transitional measures also aligns with the ACT Government supporting landlords who have reduced rent for tenants impacted by COVID-19 by at least 25%, through land tax and rates rebates. This support is available until 30 June 2021.
