England lost a thrilling match in France but have proved they can compete with the best sides in the world, says head coach Steve Borthwick.
France won 33-31 thanks to a late Thomas Ramos penalty as England finished third in the Six Nations.
The narrow defeat came after England beat Six Nations champions Ireland at Twickenham last weekend.
“I am proud, but disappointed we didn’t get the win,” Borthwick told BBC 5 Live.
“We have shown in the last two weeks we are competing with the top four teams again.
“We don’t want to just compete, we want to win. It’s a step in the right direction.”
England only won two games and finished fourth in Borthwick’s first Six Nations campaign as head coach last year, and he introduced several new players this year following their third-place finish at the World Cup.
During the opening three rounds of the Six Nations, Borthwick’s new-look side only scored six tries as they struggled in attack.
However, seven tries against Ireland and France, who are ranked two and four in the world, and finished first and second in the Six Nations, shows significant progress.
Centre Ollie Lawrence scored either side of the break to hand England the advantage in Lyon before tries from Marcus Smith and Tommy Freeman looked to have sealed victory.
However, Ramos struck in the final moments to deny England second place in the standings.
“I am really disappointed for the players, they worked so hard, and for the supporters who were magnificent,” Borthwick added.
“I am immensely proud, you can see how the shirt is getting lighter.
“Sometimes you have to stay in the fight and we saw that. If we had one more opportunity we could have got that score.”
‘Deja vu from Pollard’s World Cup penalty ‘
Captain Jamie George said France’s victory reminded him of last autumn’s World Cup semi-final defeat by South Africa when Handre Pollard’s kick from a similar position knocked them out of the tournament.
“I’m gutted about the result,” he said. “There was a lot to be very pleased about and very proud of.
“Fair play to France for coming back and getting that penalty at the end and fair play to Ramos for knocking it over.
“There was a bit of deja vu from the Pollard penalty a few month ago. That’s always going to be tough to take but there’s so much to be proud of over the last few weeks.
“We genuinely feel like this team is on and upward curve and we’re going somewhere.”
The Saracens hooker, 33, has overseen his first Six Nations as captain following Owen Farrell’s decision to step away from the international game.
George, whose mother Jane passed away before the team’s match against Scotland, praised Borthwick and his team-mates for their support.
“It has been the highlight of my career doing this [captaincy],” George told BBC Radio 5 Live. “It’s such a special thing with such special people with the staff and the players.
“It’s a young, hungry group and I’m so pleased to have played a part in that.
“It has been a tough time off the field but the group have rallied around me and looked after me, and that is the sign of a very special group,”
England’s Six Nations results
| Result | Half-time | Try-scorers | Bonus points |
| Italy 24-27 England | Trailed 17-14 | Daly, Mitchell | 0 |
| England 16-14 Wales | Trailed 14-5 | Dingwall, Earl | 0 |
| Scotland 30-21 England | Trailed 17-13 | Furbank, Feyi-Waboso | 0 |
| England 23-22 Ireland | Trailed 8-12 | Lawrence, Furbank, Earl | 0 |
| France 33-31 England | Trailed 16-10 | Lawrence (2), Smith, Freeman | 2 |