Eddie Jones has rated George Smith as the best player he has ever seen and says Australian rugby's greatest sin was letting him go overseas.

Smith left Australia after 11 seasons with the Brumbies to join French powerhouse Toulon, ending his Test tally on 110 games before a one-off appearance against the British and Irish Lions in 2013.

Jones labelled Smith, who is set to return to the Queensland Reds for the 2017 season, as the most gifted player he had seen in his time before slamming Australian rugby officialdom for letting a player of his calibre take his skills elsewhere.

"The best player I've seen is George Smith and to me it's the biggest crime of Australian rugby," said Jones at Laffo's Long Lunch, an event to raise money for disabled students to attend St John's College at Sydney University.

"How Australia let him go at 28, it's a crime. Can you imagine if New Zealand let Richie McCaw go at 28? It's just ridiculous. He should be the most capped player for Australia and he should be remembered as an all-time great. It's one of the great sins of Australian rugby.

"I've never seen a kid who can play the game as much as he can. He was an 18-year-old playing for Manly in his first first-grade game and I remember Ewen McKenzie and I sat there and watched the video. We had him signed by the Wednesday of the next week. He was that good. He could read the game, he had attacking skills, he had defensive skills, he was just a terrific player."

Smith, a back-rower who took his services to Japan and Europe, is adamant he was not pushed out the door, saying the decision in 2010 was based on family circumstances.

"I was never forced out of Australian rugby, I never felt that I was forced out. At that time of my career when I did leave, I had different motivations," Smith said.

"I wanted to explore outside Australia, that was my big thing. It's quite a demanding season on families, Super Rugby, because you're travelling so much. When I left it was a family-based decision. I never felt forced out. I can see when players may feel that way but in my personal experience it was never that way. I've always had the feeling that I was invited back if I was well enough to play the game."

Jones was in his element at the lunch on Elizabeth Street on Thursday as he mingled with former teammates and friends.

Asked which player had the best attitude and preparation, Jones singled out former Australian breakaway Simon Poidevin, but couldn't help himself with another subtle sledge at the Australians.

"He worked so hard and when you played with Poido, you knew he was going to put his body on the line," Jones said. "He was a great player for Australia. He's a fantastic player, unbelievable. If Australia had more like him it wouldn't be 2-0."

Despite claiming a maiden series win on Australian soil, Jones made the frank admission his side had not been good enough in attack and that there was still plenty to work on. "I want England to play positive attacking rugby, we're not capable of doing it yet but we will be in a few years," Jones said. "That's how the game should be played. Just hanging onto the ball is not necessarily good attacking rugby, you've got to understand you have got to find space and create space."

Speaking about the changing culture of rugby, Jones said players of today did not analyse the game as much in the sheds afterwards like the players from a generation ago. He also made a point of bringing back post-match functions.

"These Test matches we've had no post-match reception ... shows you how broke the ARU are," said Jones with a smile, before joking that he would happily foot the bill for food and drinks.