Paul Scholes has admitted Manchester United's players are worried by the prospect of their mega-rich neighbours City finishing above them in the Premier League.
City have never finished higher than United since the Premier League was formed and the last time they managed the feat was in the old First Division in 1991, when they ended the campaign in fifth spot, three points ahead and a place above of their local rivals.
But Scholes revealed the depth of concern at United over the new threat posed by City, now they have the financial clout to challenge for the title, by admitting there is a real fear they could finish higher than Sir Alex Ferguson's side this season.
"The last thing we want is City above us," said Scholes. "It's not happened since I've been here and we'll just have to see what happens there. They've bought so many players but whether they can gel together remains to be seen.
"It's great for the city to have two top teams, but I'd rather them be down in the Second Division, like they were ten years ago. There's always been big rivalry between us anyway, but even more so with the power they've now got."
City have spent £80million on new players this summer and are set to take that through the £100m barrier with the capture of Inter Milan striker Mario Balotelli for £30m. City are also confident of landing Aston Villa and England midfielder James Milner for £24m before the start of the new season.
But while Scholes expects City's spending will ensure they are challenging near the top of the table, the 35-year-old also identified United's bitter rivals Liverpool as title contenders, despite their poor showing last season when they finished seventh.
"You have got to say Chelsea will be up there, but the rest you just don't know," said Scholes. "Liverpool could be, it just depends on how they start with a new manager. But you always have to be wary of Liverpool.
"The season before last they were really close to making a major challenge. Last season, for whatever reason, it didn't work out for them. But it's much the same group of players, with Joe Cole added to it as well. So I'm sure they will be a good team.
"Petr Cech and Didier Drogba will be a big miss for Chelsea at the start of the season. Cech has been a great keeper for them over past few seasons. But they have a couple of keepers capable of stepping in.
"It's at the start of the season as well, the first month, maybe they'll only miss three or four games. I don't think they'll miss them too much. Drogba should be back for second game of season.
"Last year we didn't win what we wanted to win but we weren't that far off. You don't want to use excuses, but the injuries we had were shocking. Hopefully most of us can stay fit this year and hopefully we can go one step further than last season."
Scholes, who like fellow veterans Ryan Giggs and Gary Neville is on a one-year contract, admitted he thought last season would be his final one with United. But having decided to play on for another year, he said he had made no plans about his future.
"It depends on performances and how you play," said Scholes. "I did go through last season thinking this might be the last time I played against this team or stuff like that. But I just don't know. My performances will decide when I finish.
"I thought at 35 that would be it. From being young and first getting into the squad I think you just presume everyone would finish at 35 and that's it. Whatever you do after that is a bonus. At the end of last season I felt okay and hopefully this season I will do as well."
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