The 38-year old thinks that scouting youngsters for brute strength and height needs to stop, and they should look to the Euro 2012 champions Spain as an example.
"Iniesta and Xavi would never have made it six years ago in a British team," Martinez told The Guardian. "The first selection is 'not tall enough, not strong enough'."
Martinez, who was heavily linked with the vacancies at Liverpool and Spurs this summer, dismissed the claim the England players cannot be as technical as the Spanish players.
Also, the philosophy of 'keeping it tight' rather than expressing yourself with a fluid passing style was condemned by Martinez.
He continued: "I hate it when people say England's players cannot be as technical as the Spanish. If you look at what we've done in the last five years, the English player is technical.
"The English players at the top five Premier League clubs are technically very gifted and I have a player [Victor Moses], who could have played for England, who is, technically, as good as they get.
"We need to develop a team which is better on the ball and outplays other teams, and having that philosophy rather than trying to keep a clean sheet."
Martinez also spoke highly of Arsenal's Jack Wilshere and believes he could be key to making England a better technical side.
He added: "When you go to play for Bolton [on loan], fighting to avoid relegation, that gives you an incredible experience mentally.
"It made Wilshere a player for Arsenal. He got out of it an understanding that it's a survival business. He realised he was fighting for his career.
"All of a sudden, it makes sense. It makes you humble. You realise that life and football has a meaning. And that's what we're missing from 18 to 21."