Louis van Gaal's men consolidated third place in emphatic style at Old Trafford on Sunday, beating bitter rivals Manchester City 4-2 courtesy of goals from Ashley Young, Marouane Fellaini, Juan Mata and Chris Smalling.
Victories over Tottenham, Liverpool and City in recent weeks have all but secured United's return to the Champions League and Neville believes they are also emerging as Chelsea's most dangerous rivals for the title next season.
"Next season, [Van Gaal] will look at games he's dropped points in in this season and will think because that level of performance has come now, they could win those games next season," Neville said on Sky Sports' Super Sunday coverage.
"I think the confidence will be growing in the camp. There are people in that dressing room who have won titles, and they'll get the feeling again that the performance levels and confidence is coming back.
"That's the first time Louis van Gaal, Juan Mata and Marouane Fellaini have seen Old Trafford properly today in terms of an atmosphere.
"It's what Manchester United can create and that will give them enormous confidence. It always does when you win big matches.
"Against Spurs, you were maybe saying: 'Spurs were poor that day, they were flaky.' So you were thinking: 'Is that the real deal?'
"To go to Anfield and win makes you really sit up, because it's a tough place to play no matter how Liverpool are playing, what point in the season it is, or what point Liverpool or United are in in their development.
"But to come here today, especially after City started well and went a goal up, that's a proper performance."
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