Photo: RNZ / Samuel Rillstone

The finance minister says mortgage holders should shop around after Westpac increased its fixed-term home loan rates.

Westpac is increasing its home loans over two-to five-year terms by 30 basis points, taking a two-year fix to 4.75 percent.

It comes after a period of falling interest rates that the government has made a point of publicising to say its economic plan is working.

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