The former Sex Pistols singer came out with two swearwords after he was told viewers had not voted him out. Lydon is the favourite to win the show along with Jordan.
An ITV1 spokeswoman said: "It was a live broadcast so was unpreventable", but was criticised by a viewers' group."
She added: "We apologise for any offence caused. It is a hazard of live shows and obviously we ask people not to swear or say anything inappropriate."
Lydon's outburst followed athlete Diane Modahl becoming the second person to be voted off the show after former BBC Radio 1 DJ Mike Read was the first to go yesterday.
The event echoes the infamous Sex Pistols interview on December 1 1976, after the release of 'Anarchy in the UK'.
The Pistols, who were at the start of their career, were interviewed on what was then Thames Television in London's 'Thames Today' show by Bill Grundy.
The show was intended to probe the Pistols and punk but descended into a swearing match as a tipsy presenter Grundy goaded the Pistols -- Johnny Rotten, Glen Matlock, Paul Cook and Steve Jones -- into uttering a series of profane words.
In that exchange Lydon merely uttered the word "shit":
Lydon (mumbling): Well that's just their tough shit.
Grundy: It's what?
Lydon: Nothing. A rude word. Next question!
Grundy: No, no. What was the rude word?
Lydon: Shit.
Grundy: Was it really? God, you frighten me to death.
The outburst which continued to see Matlock up the profanity ended up costing Grundy his job.
On 'I'm a Celebrity…' he went considerably further. Watchdog Mediawatch UK attacked ITV and said that the broadcaster knew full well the reputation of Lydon.
Mediawatch chairman John Milton-Whatmore said: "ITV has resorted to bad language. A lot of people will be upset by it. It was only a matter of time before one of the incumbents of the present series went off the rails and Rotten is in there for this sort of purpose."
For ITV the news, however, is only getting better as the third series proves the most popular so far. The show is averaging 11m viewers, with ITV2 also doing well with as many as 3m tuning in for extra shows.
With eight contestants left former BBC Royal correspondent Jennie Bond is favourite to be voted out tonight.
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