AAP

Parramatta coach Ricky Stuart has denied having talks about the vacant Canberra coaching position amid rumours of a $7 million bid to lure the former Raiders star back to the nation's capital.

Social media went into overdrive on Sunday following speculation on the Nine Network's The Footy Show suggesting the Raiders had tabled a seven-year deal worth $1 million-a-season to Stuart.

The Raiders coaching position became vacant during the week when David Furner became the first Canberra mentor to be sacked mid-contract - the move believed to be the work of a player-led revolt.

Canberra officials on Sunday distanced themselves from the speculation as they announced the formation of a committee to begin the search for a new head coach.

Asked whether he would be interested in heading to Canberra - for whom he played 203 games from 1988-98 - Stuart said "I've got a job to do here," in reference to his Parramatta side which on Sunday conceded a third 50-plus scoreline of the season in going down to Melbourne 64-4.

Stuart is in the first year of a three-year deal with Parramatta.

Raiders chief executive Don Furner offered "rumours" as his only comment regarding the Stuart link, insisting the search had only just begun for a new coach.

The Raiders board met at Canberra Stadium on Sunday ahead of their side's 36-22 loss to Manly, admitting no time frame had been set.

Caretaker coach Andrew Dunemann and former Canberra coach Tim Sheens have both been mentioned as a possible candidates for the role.

Forming the committee tasked with finding a new coach are chief executive Furner, Raiders legend Mal Meninga and Raiders directors David Thom and Allan Hawke.

The board also addressed the Stuart speculation in a statement.

"The Raiders would like to clarify rumours circulating today regarding the appointment of a new head coach and have not yet approached anyone for the position," the statement read.