The downside to recession recovery

Link to the article: Channel 4 News

Signs of economic improvement have been accompanied by a decline in cheap deals for consumers.

"The recession has ended" - at least that is the headline in one newspaper today.

And there are definitely signs that a recovery is underway. But despite the good news, many cheap recession deals are starting to recede.

For one, mortgages are starting to get more expensive.

Nationwide has increased the rates by up to 0.86 per cent on its fixed-rates deals.

And swap rates - which determine how much it costs banks to raise money to lend to homebuyers - have been rising sharply over the past month.

That means other lenders are expected to follow Nationwide's move.

The mortgage broker Melanie Bien, of Savills Private Finance, speaks to Channel 4 News about the economic recovery.