By Don Nico Forbes and Ed Frankl
U.K. consumer sentiment continued to pick up this month despite lingering geopolitical uncertainty, but rapidly rising prices threaten to test confidence going forward.
Research group GfK said its consumer-confidence barometer, published Friday with the Nuremberg Institute for Market Decisions, rose three points to minus 14 in August--the highest level for two years.
Consumers are more optimistic about the next 12 months in terms of both the economy and their personal finances, while more people consider this a good time to make a major purchase, the barometer showed.
The U.K. economy made a resilient start to the year, outpacing the U.S. during the second quarter in annual terms, with economic activity faster than forecast by the Bank of England.
