Louis van Gaal's side currently occupy third place in the table after a solid second half of the season, with many tipping the Red Devils to mount a serious challenge for the league in the 2015-16 campaign.
Van Gaal revealed on Wednesday that United's summer transfer plans are well underway, with the likes ofMats Hummels and Memphis Depay on the club's radar, and Neville believes three signings would be enough to transform the club into title contenders.
He said, as quoted by the Daily Mirror: "If you asked me three months ago, I would have said [United] were a long way behind.
"Now, it's not as far. Two or three months ago, they would have been thinking Chelsea are a long way in front of us. Now the recruitment battle that will happen in the summer becomes critical.
"If they get that right, United will feel confident they can challenge Chelsea for the title next season.
"I don’t think this summer is a case of United rebuilding or total restructure of the squad. They need to continue to improve in two or three positions: a central defender, a midfielder and a winger.
"It is a case of trading well, rather than wholesale buying. I don’t expect another £150 million spend. I don’t think it is required."
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