To make matters worse, United entered March still in contention for a League and European double after opening up a 12-point gap, regardless of the fact that nearest challengers Arsenal had three games in hand.
Following the loss of captain and star striker, Eric Cantona at the end of the previous season, Ferguson acquired the services of England international Teddy Sheringham as a direct replacement on a three-year deal from Tottenham Hotspur for £3.5 million.
What seemed like a pulsating draw turned out to be business as usual for the champions, who scored twice in the last ten minutes from a Nicky Butt strike and an own goal by hapless defender Ramon Vega.
[4] David Beckham came off the bench to grab the winner against Southampton to ensure United remained in the driving seat and despite a lacklustre goalless draw to Leicester at Filbert Street, they managed a third straight clean sheet.
At home to Coventry, Andy Cole marked his return from minor surgery[4] with a goal inside 73 seconds that left goalkeeper, Steve Ogrizovic completely bamboozled.
Although victorious away to Košice, United couldn't break the deadlock in their next league match to Bolton, squandering numerous chances to remain at the top of the table, most notably from Andy Cole.
[7] Mark Hughes returned to Old Trafford and scored what looked to be the winner for Chelsea, before super-sub Ole Gunnar Solskjær popped in to earn a dramatic equaliser with four minutes to go.
A third defeat in five games was on the cards for Alex Ferguson's side after Teddy Sheringham missed his second penalty of the season, but he quickly made amends, connecting his head with Gary Neville's inch-perfect cross.
Cole, who was dropped from the first team for the Champions League tie at home to Feyenoord, came on with fifteen minutes of normal time remaining and grabbed a vital equaliser, drilling a low shot past the wretched Derby defence.
[11] Andy Cole bagged a first half hat-trick and Scholes, Ryan Giggs (2) and Poborský followed up with goals in a breathtaking performance that gave the Tykes their ninth league defeat of the season.
Thumping Wimbledon courtesy of a Beckham brace and goals from Cole, Scholes and Butt was the perfect response after their second defeat of the season and United bettered it at home to Blackburn Rovers, the only team with an unbeaten away record.
The Red Devils managed to score 30 goals in the last nine fixtures prior to this game and qualification to the quarter finals of the Champions League meant that they could prolong their rich domestic goal-scoring form.
They comprehensively defeated Aston Villa thanks to a solitary Giggs goal and followed it up with a heroic Schmeichel performance to deny Newcastle United at St James' Park.
British Prime Minister Tony Blair, a lifelong fan of the Geordies, was among the crowd and was in awe over Ferguson's team, believing that the manager had assembled "one of the greatest sides of the century".
The win marked the end of Karel Poborský's spell, coming on for David Beckham in the second half ahead of a switch to Graeme Souness' Benfica.
In losing to mid-table Coventry City two days after the Everton win, United blew the chance to open up a nine-point lead at the top of the table, which would virtually slam the door shut on the challengers.
Prior to the game, Ferguson highlighted the fact that the league "wasn't won in December", but following the defeat blasted his side's display as "silly" and "on the verge of complacency".
[20] Things went from bad to worse in January as Tony Cottee popped in to stun Old Trafford and score the winner for Leicester in what proved a wretched season for the striker.
[21] 7 February marked the visit of Bolton Wanderers to Old Trafford on the 40th anniversary of the Munich air disaster, which killed seven United players, eight sports journalists and several club officials.
The only drawback that came out of the match was a hamstring injury suffered by Giggs that ruled him out of the FA Cup replay away to Barnsley and remained serious doubt for first leg of the Champions League quarter-final at Monaco.
Such a massive gap between themselves and the chasing pack with ten games remaining was enough for Manchester bookmaker Fred Done to pay out on punters who backed the champions in retaining their crown.
[33] Elimination to Monaco through the away goals ruling ended United's run in the European Cup but they showed their championship credentials, scoring twice late on at home to Wimbledon and extending their lead via thumping Blackburn.
[35] United moved to within a point on Monday night after relegating Crystal Palace but Ferguson confessed only "a total collapse" would prevent the title heading towards North London.
Having failed to take their chances in a semi-final against eventual champions Borussia Dortmund in 1996–97, Ferguson was resolute to go one step further and emulate Matt Busby's success of 1968, quashing any talk that his team was not good enough.
[43] Early autumn marked the return of the Champions League and Manchester United were paired up with Italian champions, Juventus, Dutch giants Feyenoord and Slovakians Košice in Group B. Ferguson's men started their quest away to Košice; it didn't take them long to stamp their authority – Denis Irwin tapped in an intercepted cross, Henning Berg scored his first goal with a thumping header and Andy Cole completed the rout three minutes from time with a composed finish.
After going a goal down inside 24 seconds to Alessandro Del Piero's cool finish, Teddy Sheringham replied with a looping header before Scholes put United into the lead, dribbling round Angelo Peruzzi to place the ball in the back of the net.
However, the game was marred by a high tackle on defender Denis Irwin by Feyenoord midfielder Paul Bosvelt (leaving the Irish international six weeks out at a crucial stage of the season and causing something of a media frenzy back in Britain) and constant clashes between both sets of fans.
[45][46] Nevertheless, United were placed as favourites for the competition, largely due to their impressive start,[47] and a routine 3–0 win at home to Košice ensured qualification to the knockout stage as group winners.