Villa, who ended a run of four consecutive defeats with their goalless draw with Southampton on Saturday, are currently five points above the Premier League's relegation zone with four games remaining.
Gray has admitted that he is growing increasingly concerned about the future of the Midlands outfit.
"I'm worried about Villa," he told talkSPORT. "I'm worried about their short-term future, and I'm worried about their long-term future.
"Paul Lambert is running out of excuses for me. Villa are no better off than they were 12 months ago, maybe even worse. They are no better off than when they decided to sack Alex McLeish. In fact, in terms of points, they are worse off.
"I don't know what kind of progress Villa think they've made in the last couple of years, but on the pitch they've made none."