The 28-year-old admires Gaga's wacky fashion choices but doesn't think she would be brave enough to wear some of her looks.
Speaking in an interview on British TV show Lorraine, the Girls Aloud star said: 'I think Lady Gaga has took it to the extreme and nobody had dared to go there before. I think she's fascinating.
'I mean, I'm not as brave or as bold as to do some of the things she does myself, but I admire her a lot.'
Cole also added that she thinks there is a difference in style between London and Newcastle, claiming there's 'definitely' a north-south fashion divide.
The former X Factor judge said: 'And in Liverpool too, I mean Newcastle, yeah absolutely, in Liverpool, those girls go all in. They don't mess around up there - we are talking full-on glamour.'
Cole also blasted those who criticise her own style, adding: 'I don't care, I like what I wore, else I wouldn't have worn it.'