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Conservative led Westminster Council has been condemned for its treatment of homeless people.
Shadow Commons leader Hilary Benn criticised the department of communities and local government (DCLG) for allegedly supporting moves to cut soup runs for Westminster's homeless.
Commons leader Sir George Young dismissed the claims and said it was important to encourage the homeless to abandon a "lifestyle" which was not in their "best interests".
Quoting St Matthew Chapter 25 verse 35, Benn said DCLG were supporting Westminster City Council's plan to "make it an offence to feed homeless people in one part of central London".
Speaking during questions on forthcoming parliamentary business, the shadow Commons leader said: "Under their proposed by-law, entitled with Orwellian lack of irony Good Rule and government number three, anyone found offering free refreshments to homeless people - that's soup, bread, water - will be liable to a fine of up to £500.
"Westminster also wants to outlaw the act of lying down or sleeping in a public place.
"Now when this was first reported, many people refused to believe point blank that it was true, me included.
"We thought 'this has to be a joke, isn't helping the homeless what the Big Society is meant to be all about?'
"But it's not a joke. It is in fact the shocking face of 21st century Tories in the richest borough in the country supported by the communities secretary.
"Their Big Society hides a big, nasty spiteful stick. Those who thought of this should be ashamed of themselves."
In response, Sir George, who was housing minister when the rough sleeping initiative was introduced twenty years ago, said "enormous progress" had been made.
He "applauded the successor government" for what they did to roll out the initiative and apply it to other parts of the country too.
The Commons leader told MPs there had been an "ongoing debate" as to if those who generously supply food should be encouraged to do so within buildings where people have access to the help and support or whether they should continue to "operate in a more unstructured way".
He said the issue was "more complicated" than Benn had indicated.
"I hope Westminster City Council can work with the voluntary organisations and those trying to help the homeless in a way which reaches out to people but also encourages them to abandon a lifestyle which is not in their best interest and encourages them to have access to those who can help them into training and jobs," he said.
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