Manchester City suffered their third Premier League defeat this campaign after losing 2-1 to Leicester City at the King Power Stadium in one of Boxing Day's fixtures.
Bernando Silva got the Citizens ahead with an early goal but a goal each from Marc Albrighton and Ricardo Pereira ensured the Foxes emerge victorious after regulation period.
A defeat that further pushed the EPL defending champions down to third position on the log with seven points behind current leaders Liverpool after 19 round of matches.
After the match, Pep Guardiola admitted that his side failed to create enough chances in the game and they suffered for it.
The former Barcelona and Bayern Munich handler however insisted that they have to find a way to solve the nagging problem that cost them two straight defeats in the English topflight.
"We had a lack of power to create more chances. We have to try to find the solutions ," he said afterwards.
"Fernandinho is not able to play, he is injured, we have to overcome it. Ilkay Gundogan was good with the ball, he played good.
"Liverpool and Tottenham deserve it, they win games and we don't, the gap is increased. Last season we had a big gap, this season Liverpool and Tottenham are very good .
"We have finished the first half of the season, we have enough points to be champions but the other teams make more, they are better than us at the moment.
"Football is fascinating, unpredictable. People say what we did last season was easy, it was very difficult ."
Albrighton, scorer of the first goal, was pleased to add a second scalp of the festive period after the Foxes saw off Chelsea at Stamford Bridge on Saturday.
"It was hard work out there. We rode our luck at times but once we scored we more than deserved at least a point ," he said.
"A big trait of ours is that we don't know when we are beaten. We were under the cosh but came back into it.
"We've had a good week, we are brimming with confidence but we can't get complacent. It's Cardiff next. "
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