Fibre-reinforced hydrogels are promising materials for biomedical applications due to their strength, toughness, and tunability. However, it remains unclear how to design fibre-reinforced hydrogels for use in specific applications due to the lack of a flexible modelling framework that can predict and hence optimise their behaviour. In this paper, we present a microstructural model for transversely isotropic fibre-reinforced hydrogels that captures the specific geometry of the fibre network. The model also accounts for slack in the initial fibre network that is gradually removed upon deformation. The mechanical model for the fibre network is coupled to a nonlinear poroelastic model for the hydrogel matrix that accounts for osmotic stress. By comparing the model predictions to data from unconfined compression experiments, we show that the model can capture J-shaped stress-strain curves and time-dependent creep responses. We showcase how the model can be used to guide the design of materials for artificial cartilage by exploring how to maximise interstitial fluid pressure. We find that fluid pressurisation can be increased by using stiffer fibres, removing slack from the fibre network, and reducing the Young's modulus of the hydrogel matrix. Finally, a high-level and open-source Python package has been developed for simulating unconfined compression experiments using the model.