Kenny Dalglish has strengthened his squad with the signings of Jordan Henderson, Charlie Adam and Stewart Downing this summer. However, Lawrenson has admitted that the Reds will not be challenging for the title.
“[Kenny Dalglish] will never admit this is in public but what they’ve got, in terms of the players they’ve brought in, he will be thinking Champions League,” the pundit told talkSPORT.
“Manchester United, Manchester City, Chelsea will be the top three in whatever order you want to put them and, if Liverpool are going to get fourth position, then it’s between them and Arsenal.”
The Gunners have brought in Ivorian forward Gervinho but may be resigned to losing captain Cesc Fabregas and Samir Nasri. Left-back Gael Clichy has already abandoned the Emirates for Manchester City.
“The thing with Arsenal is, they might lose Fabregas, they might lose Nasri and they still haven’t got commanding centre-backs, they still haven’t got a leader,” Lawrenson added.
“They also might need an experienced goalkeeper. So that is the position Liverpool are fighting for. I do think it’s between Arsenal and Liverpool for fourth spot.”
The two clubs go head to head a week into the season when they meet at the Emirates on August 20.