Real Madrid manager Carlo Ancelotti says Manchester City should be considered favourites to win the Champions League once again. 

City claimed the famous trophy for the first time last season, beating Inter Milan in the final and completing a historic treble in he process.

City dispatched of Ancelotti’s Madrid in the semi-finals, thrashing them 4-0 at the Etihad after a 1-1 draw in Madrid.

‘I think City are favourites,’ Ancelotti told a press conference ahead of his side’s opening group game against Union Berlin on Wednesday. 

Carlo Ancelotti says Manchester City should be considered Champions League favourites 

‘They have a squad which allowed them to win it last year, which hasn’t changed much. 

‘There are always surprises, above all in the latter stages, but right now City could be considered favourites.’

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Madrid’s and Union Berlin are joined by Napoli and Braga in Group C.

‘Obviously (our target is) to get through the group stage, to go through the quarters, and to compete until the end,’ Ancelotti added. 

City won the trophy for the first time last season and will be bidding to retain the trophy

‘Making the last four, we can say that without too much pressure, that’s a target we can reach.’

‘I see us as a team that will compete,’ he added. ‘We’ve never thought of ourselves as favourites and I don’t think City will either as of today.’