The Blues will try to have a first successful top tier season in a quarter of a century under new boss Gary O'Neil in 2026/27, with their clear objective being to avoid the drop.
They didn't manage that under former boss Kieran McKenna in 2024/25, the only blot on his otherwise exceptional record in Suffolk.
And Barry, who made the second-most Premier League appearances ever for Aston Villa, Manchester City, Everton and West Brom, says losing McKenna is definitely a set-back.
"They are in a better position with a season of experience under their belts," he told Lyllo Casino.
"However, losing their manager is a massive blow. I felt Kieran McKenna would have been better placed to keep them up than Gary O'Neil."
Barry stressed that he doesn't mean that O'Neil - who's kept both Wolves and Bournemouth in the top tier - can't repeat the trick at Portman Road.
Town made Emersonn their new club-record signing last week - and Barry says they must make more 'major signings' (Image: ITFC/Matchday Images)
But he believes Town, who made Brazilian striker Emersonn their new club record signing in a £24m move last week, need to be very active in the transfer market to have any hope of defying the drop.
"It's a huge job for Gary O'Neil," Barry stressed. "I can see them causing problems at home, but I fear they might go straight back down.
"He kept Bournemouth up, so he has the experience, but I'm not sure the squad is good enough without major signings."
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