England reserved their place for the Euro 2020 final with a 2-1 victory over Denmark at Wembley on Wednesday night.
“I think it will be a very close game,” Carragher told Sky Sports. “I think it can go on penalties and England will emerge victorious.
Italy, meanwhile, beat Spain on penalties to advance to the final. Providing his prediction, Carragher expects England to take a narrow victory over Italy, adding that it will be a very close game.
"Italy are very strong defensively, as are England. I think it will be 1-1 and then go to penalties. "We worked a lot on the penalty shootout so let's not spoil it! I don't think there will be too many goals in the game.
The former center-back added: “It's huge because I didn't think England were capable of reaching the final.
“I think it's the good final. I think these are the two most impressive teams in this competition - and the winner takes everything on Sunday". “This is what we did against Germany and we will have to do it again to lift the trophy against Italy".
“I thought it was going to be really tough whether we were up against Germany, France or Portugal, and since 1966 an England team have not only reached the final, but have beaten a major nation in a knockout match".
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