John Terry has taunted Manchester United by insisting they have "peaked" and will be no match for Chelsea this season.

United narrowly beat their rivals to the Premier and Champions League last term, but manager Sir Alex Ferguson has since branded Chelsea's squad as too old to take the trophies away from Old Trafford.

However, Terry feels United only finished on top due to the numerous injury problems Chelsea suffered in the first half of the campaign as well as the uncertainty caused by Jose Mourinho being replaced by Avram Grant as manager.

The England international believes the team's spirit is stronger than ever after coming through adversity and has been strengthened by Luiz Felipe Scolari taking over at the club.

Terry insists it is Ferguson's side who will be shown to be on the wane this season and said: "They have had two good years like we had before and you have to stand back and take your hat off to them, but we know we were good last year and we have another level to go to.

"Last year I think we saw the very best of United, but we have got an awful lot more to come. We have got improvements to make, but I think United are at their peak.

"Coming away without a trophy for the first time in four years was very disappointing for a club like ours. But the togetherness off the field was at a level I have never seen before.

"The chips were down what with the injuries, a change of manager and different things happening around the club. The team and the players came closer together. We had our own meetings and were straight with each other. I have never seen anything like it.

"I think it's taken to us to another level and it was an achievement for us to get to where we did last season.

"We have to use that to our advantage because this year we have an awesome manager and to combine it with our togetherness could be fantastic."

Terry is adamant that the priority is to regain the Premier League trophy they won in 2005 and 2006.

He added: "To show consistency over the season and get that back off Manchester United would be fantastic."