GRAEME Souness believes Celtic could “be on the end of a hiding” when they face Manchester City in their second Champions League group game at Parkhead on Wednesday night.

The Glasgow club slumped to a 7-0 loss, the heaviest European defeat in their history, when they took on Barcelona in the Nou Camp in their opening Group C fixture earlier this month.

Souness, who covers Europe’s premier club competition for Irish broadcaster TV3, feels the humiliation the Scottish champions suffered over in Spain could be repeated this week.

“Where Scottish football is now is a long way off being able to do well in these competitions, go far in these competitions,” said the former Rangers manager.

"You can never say we will never bridge the gap. You don't know what will happen with re-structuring, whatever. But right now we are a long way off, I would say as far off as we have ever been.

“When you come up against the very best you could always be on the end of a hiding, as Celtic were in their first game, because of that gap in quality. Losing 7-0 didn't flatter Barcelona. I was doing the game.

“That could happen to anyone, not just Celtic. Barcelona on a good night, with that front three they have, can score seven against anyone. But right now Scottish football is way off the pace in terms of the special clubs in Europe.

“You would have to say that going into the City game on the back of being beaten 7-0 and playing against a team whose tail is firmly up and playing with a great deal of confidence it could be another difficult night.

“On the flip side of that, going to Parkhead is never any easy game. I found that. It is a difficult place to play. The crowd get behind them and they could catch City on a bad night. But if you are asking me I think it could be another difficult night for Celtic."

Pep Guardiola, the former Barcelona and Bayern Munich coach, spent over £100 million on just three players - Ilkay Gundogan, Leroy Sane and John Stones - after taking over at City this summer.

Souness, who watches English football every week in his role as a pundit with Sky Sports, believes the Etihad Stadium club are better than they were last season when they reached the Champions League semi-final.

"It is very early days for City and Guardiola,” he said. “But you would say that City are, certainly last year, the best group (in the Barclays Premier League).

“Last year they were my tip to win the league, but they underperformed under Manuel Pellegrini. Pep Guardiola has pushed them, he has lit fires under some of them.

“Last year under Pellegrini some of them had been allowed to get in their armchair. He will not allow that and I think you have seen the rewards of that. It looks like they are going to be the team to beat.

“But I actually tipped Man United to win the English title so what do I know!"

Graeme Souness was speaking at the McDonald’s & SFA Grassroots Awards National Ceremony at Hampden Park. Find out more about the national winners at mcdonalds.co.uk/awards