The Bishop of Lichfield insisted that God "could be found in Telford" despite headlines earlier this year describing the new town as "godless".
The Right Rev Jonathan Gledhill made his comments as he licensed Mark Berry to his new post as missioner to young adults in the Telford area.
Mr Berry's appointment two months ago sparked the ' Godless Telford' headlines as it was reported that the town was one of the most secularised areas of Britain.
It was revealed that less than one per cent of people attend an Anglican church on a Sunday and in the last decade adult church- going has dropped by 20 per cent.
Traditionally new ministers are licensed in a church but on Wednesday 150 church leaders and supporters gathered in Telford Town Park to provide an informal welcome to Mr Berry.
Addressing the gathering, Bishop Jonathan said: "God is at work in Telford and in lots of churches in the town. But we have a credibility problem because we aren't very good at connecting what we do to the ways of the New Testament."
He said Telford town planners had "got it wrong" when they designed the town after a secular blueprint based round a large shopping centre and its network of underpasses to carry pedestrians from one area to another.
"You can't build communities based on a retail park," he said.
"And the Church sometimes gets it wrong too, because 'church' isn't a building with a vicar. It is a movement of people set free by Jesus Christ to become his followers and build a new community."
He said Mr Berry's role would be to serve young adults in Telford who had spiritual needs but did not know what to do about them.
" He will draw people together to be like Paul and his disciples in the New Testament," he said.