The Royal British Legion has said it received no complaints about fundraising poppies which were placed outside a strip club.
One of the poppies nestles behind giant fake foliage outside the club
The poppies have been put up at The Rocket Club as part of a wider fundraising initiative in Broad Street, Birmingham's main entertainment area.
The move was criticised by the National Service Veterans' Association, who said it was "inappropriate".
But a spokeswoman for the Legion said it was grateful for the support.
The spokeswoman said: "We have received no complaints from either our members or supporters about this matter and so the decision has been taken to leave the two poppies displayed at the Rocket Club."
The poppies are part of a wider scheme, organised by Birmingham's Business Improvement District for Broad Street, which bought 30 building poppies and distributed them to members who paid £350 each.
'It demeans us'
The project raised £10,000 for the Legion's welfare work.
Gerald Rose, 77, chairman of the National Service Veteran's Association, who served with the Royal Electrical and Mechanical Engineers in Egypt following World War II, criticised the Poppy Appeal being associated with a lap-dancing club.
"Personally I don't think it is right, it demeans us to a degree.
"There was a bit of a lack of forethought in the first place. They should have looked at it and thought it inappropriate."
Club owner Alan Sartori said: "We wanted to raise the Legion's profile, this organisation needs our support.
"I got two poppies and put one on the front and one on the side. What is wrong with that?"