Rangers narrowly missed out on promotion after losing over two legs to Motherwell, but Lambert has suggested that it would have been better for his former employers if Stuart McCall’s team had got the win.
“Celtic need that. If I was a Celtic player you would want your strongest rivals to be in the league because you need that,” he said.
“When we played it was great games in the Old Firm games, top players on both sides. As a player you would want your biggest rivals to be in the same league as you.”
Celtic are without doubt the biggest club in the Scottish Premiership and in a unique position where they are relatively assured of a good chance of success every season.
The Bhoys would benefit from having their long term rivals back in the top flight for a number of reasons, with the benefits now delayed for at least a year.
Celtic boss Ronny Deila will constantly be on the lookout for ways that he can challenge his team and urge them to improve domestically.
Rangers are some way off of Celtic in terms of quality, but Deila could play on the rivalry between the two clubs to improve aspects of his players like their mentality.
Celtic could also benefit financially with the Scottish Premiership arguably a more expensive product to foreign broadcasters and outside parties with Rangers in it.
Deila is the sort of manager who would be up for anything which stands to make his team even more dominant, sharper and cleverer.