Shane Rattenbury announces new rent relief fund to help people living with rental stress

Community organisation Care will provide one-off grants for up to four weeks of rent up to $2500, directly to the landlord or grantor.

Canberra Institute of Technology student Sophie Clark understands the stress of renting all too well.

The 18-year-old, who is studying paralegal services, was recently told by her doctor to stop working full-time for her health.

"My doctor recommended I didn't work full-time due to health concerns, but I don't have the option to go part-time or casual or to not work because I wouldn't be able to afford the cost of living," she said.

"I have a full-time contract for five days a week [and] I make sure I work weekends as well just to get a little bit of extra money."

Ms Clark said she pays $530 a week in rent for a granny flat, which she managed to get because her family knows the landlord.

She avoids buying meat and fresh vegetables in order to save. She is also gluten-intolerant, which means she has to pay more for specialist foods.

Ms Clark also said her studies are disrupted because she uses the weak internet from the main house attached to her flat, unable to afford buying her own.

"It takes a toll on [your] mental health ... that constant struggle and that constant need to plan everything quite meticulously," Ms Clark said.

"[There is also] that fear of taking sick days from work because you really do need that income."

The rental stress fund will be available until June 30 next year, Attorney-General Shane Rattenbury said.

"The fund is one way we are supporting vulnerable Canberrans and easing the stress for households worrying where next week's rent will come from," he said.

To qualify for the fund, individuals or households will have to be putting more than 30 per cent of their income towards rent, and have liquid assets of $5000 or less, excluding their super.

Grant applicants must also have a gross household at or below $54,643 for the first adult, $57,474 for sole parents - with each additional adults income $20,905 or less.

Despite being a one-off payment, Mr Rattenbury said Care would assist those still impacted by financial stress through their other programs offered.

Data revealed earlier this month showed Canberra's rent had stabilised after continuous growth since September 2019.

But with rents still coming in at a median of $690 a week, it is only a small relief to current Canberra tenants.

The government still wants to help Canberrans deal with the rising costs of living, Minister for Housing and Suburban Development Yvette Berry said.

"Alongside the rent relief fund, the ACT government is releasing more land, growing and renewing public housing, and reforming the Territory Plan to ensure more housing options for future Canberrans," she said.

"A secure home is a foundation for people's wellbeing.

"We know that the cost of housing can be a significant pressure for some households, and this additional support will go to those who need it most."

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