Man United great says Liverpool have the attributes of a title-winning team.
The Merseyside club's display and 'clinical element' could propel them towards the title, says Neville.
Gary Neville has hailed Liverpool's start to the season, saying the Reds look like Premier League title winners.
Jurgen Klopp's side maintained their 100% start to the new campaign as they secured a 3-0 win over Burnley on Saturday, thanks to strikes from Sadio Mane and Roberto Firmino that came after Chris Wood‘s own-goal in the 33rd minute.
However, the 44-year-old believes his former side's bitter rivals are playing like potential Premier League winners with a 'clinical element'.
"I was watching Liverpool at Burnley and I had that feeling," the former England defender said on Sky Sports's Gary Neville Podcast.
"I said last year I thought they were a championship team. They are a championship team. They are playing at a level that could win the title.
"You watched them at Burnley, and they weren't brilliant in the first 20 minutes, but they go and get a goal and then a second goal.
"You talk about the clinical element of a team. The defensive bit is right, the attacking bit is right, and the midfield looks solid and experienced. They are a title-winning team and they were last year, essentially with what they did."
Liverpool set a new club record as the win at Turf Moor made it 13 league wins on the trot. The previous record of 12 was set in the 1989/1990 season.