Church leaders from across Nottinghamshire have signed an open letter to Nottingham City Council criticising its beggars poster campaign.
The posters warn shoppers not to give cash directly to homeless people , claiming it only fuels their drug or drink habits.
It depicts a polystyrene cup bearing the message "90% of the money given to beggars goes straight to drug dealers".
More than 30 members of the church say the posters do not make it clear there is a diverted giving scheme across the city.
Reverend Andrew Deuchar, from St Peters Church in Nottingham, told BBC Radio Nottingham the posters send out the wrong signal.
He said: "The immediate image is of homeless people being responsible for the guns or the drugs.
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