City were fined 30million euros (£24.9million) and given a two-year ban from UEFA club competitions on Friday after an investigation into accounts submitted by the club between 2012 and 2016.
The Premier League champions have appealed to the Court of Arbitration for Sport against their punishment for "serious breaches" of Financial Fair Play rules.
Neville, a former Manchester United defender and joint-owner of Salford, told Sky Sports: "If owners sign up to contracts or allow contracts to be signed under their ownership, they should have money in place to fulfil those contracts and I think Man City's owners have got that.
Ex-United captain Roy Keane believes it could motivate Guardiola's side and also suggested they will not lose a plethora of players in the wake of the news, if any appeal was to fail.
"This year it might make them more determined to try and win," said Keane. "We have to remind ourselves Man City have never been in a final. There is no guarantee they will win over the next one or two years.
"It is obviously very damaging for the club in terms of their brand and the financial side of it and attracting the best players.
"I still think for City, there are challenges still out there in terms of winning the title and when you have got Pep Guardiola at your club, you will still attract very good players."
UEFA declined to comment when contacted by the PA news agency.