The creator of TV dramas such as Grange Hill and Brookside said: "We have to change our internal perception and learn to solve our own problems - that ability has been lacking. Things like gun crime problems here are a symptom, not the issue. The issue is post-industrial decline."
To do this Redmond said Liverpool must learn to become more business-like rather than constantly selling itself as a friendly city full of characters.
"I have never believed that people come and invest in places because they like the cut of the jib of their people" he said.
"I don't think [developer] Grosvenor put £1 billion into the Liverpool One [development] because they thought the people here needed cheering up. They did it because there is a return to be made."
It was time for Liverpool to start emphasising its assets rather than chasing public subsidies, Redmond added.
"Too much effort here has been spent chasing grant aid when it should have been telling people to come up with new ideas," he said.