New Zealand's World Cup-winning former coach Graham Henry on Monday blasted rivals England as the "world champions at wasting talent".

Henry guided New Zealand to victory in last year's World Cup at home as England's campaign, which was marred by off-field incidents, crashed in the quarter-finals with coach Martin Johnson subsequently resigning.

"It sometimes seems that England are world champions at wasting talent," Henry told therugbysite.com. "England has top-draw attacking players (but) they are seldom used.

"At national level and at club level English teams are far too worried about securing possession.

"No wonder England had trouble scoring tries against the better teams at the World Cup."

He singled out Ben Foden, Chris Ashton and Delon Armitage as players who has impressed him but believes they may never reach their potential.

"A country with over a million players should be the best team in the world and England's potential in the backs is as good as it has ever been," he said.

"But how frustrated those players must get in a white shirt.

"England and the English clubs played a game based on fear and a generation of promising backs are dying on their feet.

"That has to change."