Speaking to The Sun, the lead singer of the Sex Pistols also described their music as joyless.
He said: "I pity the poor bastards who have to watch them. They are utterly humourless.
"I met them a few years ago, said hello and realised they were just men in anoraks. They looked like a gang of little poncey masturbators.
"There is no fun, they don't offer joy. Their music has a couple of quite nice tones here and there but it's a box of tosh sold to slightly inadequate, half-baked people."
Lydon, who headlined the Isle of Wight Festival with the Sex Pistols at the weekend, also discussed the group's plans to record a new album.
"There could be a new record. That would be nice," Lydon said. "But I won't do anything in a patronising way. The music, the subject and the attitude all have to be right at the same time. Everything has to be from the heart."