UK consumers remain cautious in August -GfK

British consumer sentiment was unchanged for a third successive month in August and showed continued caution about the economy, a survey by pollsters GfK NOP for the European Commission showed on Friday.

Shoppers' assessment of the economic outlook and willingness to make big purchases worsened slightly, outweighing modest improvements in their view of the past year, leaving the headline index steady on the month at -25 versus -36 a year ago.

"Our index for UK consumers' confidence in the economy has remained stable for the third month in a row, with the score showing that, while UK consumers are still cautious about the economy, they are less pessimistic than this time last year," said GfK NOP spokeswoman Rachael Joy.

"Recent reports of housing market improvements and economic recovery may well be lifting the public confidence," she added.

Mortgage lender Nationwide reported the fastest rise in house prices in two-and-a-half years in August, and business surveys have suggested Britain's worst recession in decades may be nearing an end, though unemployment is still set to rise.