McClaren, 51, who is back in the Netherlands with Twente after a disastrous spells with Wolfsburg in Germany and Championship side Nottingham Forest, has struggled to regain his reputation in England after failing to qualify for Euro 2008.
"I think I wasn't experienced enough. It was too early for me," McClaren told The Observer.
"Inside was okay, the players were fine. I had worked with them for six or seven years as assistant anyway, so I knew them and I knew the environment, which is terrific at the FA. Keep me inside that, no problem.
"It's the sideshow and I wasn't experienced enough to cope with it. I think Roy [Hodgson] is. He's been through the fire a few times and he knows how to handle that.
|AZ 0-3 FC TWENTE
|Watch the highlights from Saturday's Eredivisie clash as McClaren's side demolished AZ to keep the pace at the top of the table
"It's about the press, it's about the media, it's about the supporters, it's about the taxi drivers - everyone has got an opinion."
After leaving Wolfsburg, McClaren decided it was time to try working in England once again and, after Aston Villa decided not to interview him, he chose to take the role of managing ambitious Nottingham Forest.
"After the England job, I think many managers find it difficult, especially to work in England again," he added.
"You're thought of as the ex-England manager who didn't qualify for the Euros; a failure. Who wants him in your football club? And this is why I came abroad because, like everything, time heals and then people maybe start to appreciate you again.
"I thought it was the right time to go back to England but it was too soon because of the reaction, obviously, from supporters."
McClaren is a hero in Enschede after leading the Tukkers to their first ever Eredivisie title in 2010, but his second spell at the club is not going so well.
Despite sitting joint top of the league with PSV, Twente have already been knocked out of the Dutch Cup and the Europa League, leading president Joop Munsterman to give the former Middlesbrough manager the dreaded vote of confidence.
"I've come back here and I think that no matter what - and it might end badly - you can't take away the first, probably the only championship, this club will ever win was in 2010 and I was the trainer.
"So that won't change. But, no, I had no hesitation in coming back. I like this environment and I like this club and I like the president."