The United boss feels that UEFA's bid to implement a system which forces clubs to include at least five home-grown players in their squads will enable England to avoid the same fate as Scotland.
Ferguson said: "I don't think England would ever suffer like Scotland because this is a nation of 50 million people.
"But the fact is that the small number of English players competing in the Champions League is down to the way the Premier League has developed. The question is, at what point will the Premier League realise that they will have to take steps to ensure that more English players feature in their own competition?
"UEFA are trying to work something out about quotas and that is the right idea."