SOCCER ENGLISH PREMIER LEAGUE/ Manchester City 0 Everton 2: BILL SHANKLY used to rely on an old saying at Anfield that "first is first and second is nowhere."

These days, finishing fourth is the best Liverpool can hope for and there are signs they may have to suffer the indignity of being barged out of the Champions League places by the team from across Stanley Park - a side, lest it be forgotten, that Rafael Benitez has infamously described as a "small club".

Everton resented that suggestion and they seem to be doing everything in their power to make Benitez rue his words. This victory, courtesy of first-half goals from Yakubu Ayegbeni and Joleon Lescott, propels David Moyes's team back above Liverpool into fourth, three points clear of their neighbours albeit having played a game more.

One thing for certain is that Manchester City can be discounted with immediate effect. Sven Goran Eriksson's team turned down a cul-de-sac last night and, having been thoroughly outplayed, they are languishing in eighth, their lowest position of the Swede's reign.

Everton were significantly the better side although, for all their superiority, there will always be doubts about whether this team is equipped to do anything in Europe's premier club competition other than fall flat on their face.

Fabio Capello was here last night and it was one of those occasions when he must have wondered whether the Premier League was guilty of self-aggrandisement with all its back-slapping claims of being the best in the world.

Capello was here primarily to watch Micah Richards, a centre-half experiencing his first dip in form, as well as Joe Hart, a 20-year-old who began the season as Eriksson's third-choice goalkeeper and, to the bemusement of many City supporters, is now being spoken of as a serious contender for the England team.

The name of Lescott may also have featured prominently in Capello's notebook - presumably with a tick rather than a cross - and, if the news has not reached him already, England's manager will know by now why Rob Styles is a familiar subject for students of refereeing demonology.

David Moyes's team were quicker to the ball, stronger in the tackle and played with an urgency that was strangely missing from the home side.

All of which spares Styles another inquest into his officiating because the visitors also had a clear penalty turned down in the seventh minute when Richards, losing his balance as he charged down Tim Cahill's shot, tried to retrieve the situation by jabbing out his right arm to deflect the ball away.

The sense of injustice seemed to spur on the visitors. Their passing was crisp, they played with width and penetration and they looked particularly incisive when attacking down the left.

City, in contrast, looked unrecognisable from the side that had beaten Manchester United in their last game - which was strange because Eriksson had chosen exactly the same team.

Perhaps, in hindsight, Eriksson will regret not starting the game with Elano and Vedran Corluka, both of whom were suspended at Old Trafford.

His team did not manage a noteworthy attempt on goal inside the opening half and, once the first goal went in, Everton were so utterly in command they could conceivably have made the game safe by half-time.

As it was, their superiority was rewarded with only one more goal, Lee Carsley's deep cross picking out Lescott in a congested penalty area and the defender jumping highest to loop a well-directed header beyond Hart.

It summed up City's first-half performance that Richard Dunne, their usually reliable captain, was outjumped in the process, but it was totally in keeping with the way the game had gone since the first few minutes when Hart had to save adroitly at Yakubu's feet.

After 29 minutes Pienaar's curling effort flicked off the crossbar and, within 60 seconds, Everton took the lead when Yakubu touched the ball to Cahill, set off for the six-yard area and arrived just in time to connect with the return pass.

Equally disappointing for Eriksson must have been the lukewarm response from his team after the interval.

True, there was an improvement from the home side but much of this owed to Everton sitting back on their lead and they rarely looked troubled.

Eriksson introduced Elano and his new striker, Felipe Caicedo, but their possession seldom amounted to anything and, at the other end, they continued to look vulnerable.

Everton might, indeed, have scored a third after 54 minutes when Yakubu surged down the left and cut the ball back for Cahill, who was denied by Michael Ball's saving tackle and Dunne's clearance.

They were also denied another penalty after Richards inexplicably handled the ball again and Styles, together with his assistant, decided it was outside the penalty area.

In the end City were punished by Styles when Martin Petrov was sent off for aiming a kick at Leon Osman in added time.

• Guardian Service

MANCHESTER CITY: Hart, Onuoha, Dunne, Richards, Ball, Vassell (Castillo 75), Gelson, Hamann (Elano 46), Ireland (Caicedo 68), Petrov, Mwaruwari. Subs not used: Isaksson, Corluka. Sent off: Petrov (90).

EVERTON: Howard, Hibbert, Yobo, Jagielka, Lescott, Neville, Carsley, Osman, Pienaar (Fernandes 56), Cahill, Yakubu, Fernandes (Johnson 67). Subs not used: Wessels, Nuno Valente, Anichebe. Booked: Carsley. Goals: Yakubu 30, Lescott 38.

Referee: Rob Styles(Hampshire).