ACT government extends rent reduction scheme to December

The ACT government has extended its rent reduction scheme by a further three months, until the end of the year, in a bid to support residential landlords and tenants affected by COVID-19.

The scheme, introduced in April, gives land tax and residential rate rebates to landlords who reduce rents for tenants in rental stress by at least 25 per cent.

Only tenants affected by the pandemic are eligible for a rent reduction.

Landlords who reduce their tenant’s rent by at least 25 per cent can receive up to $100 per week in land tax rebates.

As of August 13, 759 landlords had applied for the rebate. They will have to apply again if they continue to pass on the rent reduction.

The scheme was implemented as part of the city’s economic response to the coronavirus pandemic and was meant to last only six months.

“We understand this is a difficult time for many Canberrans, particularly those that have suffered a significant reduction in their income,” ACT attorney-general Gordon Ramsay said.

“We are pleased that so many landlords are taking advantage of these rebates so Canberrans that are struggling financially are not left without a home.”

So far, the ACT government has extended the moratorium period for rental evictions by a further three months to October 2020, put a temporary freeze on rental increases and prevented ‘blacklisting’ as a result of being unable to meet rent repayments.

“I want to remind people that this isn’t a licence for tenants to completely forgo their rental obligations. If you are not impacted financially by COVID-19 and can pay your rent, then you are required to do so,” Mr Ramsay added.

“All parties need to come to the table if their living situation has been disrupted due to the financial impacts of the COVID-19 pandemic.”