The counter protestors chanting "we are black, we are white, we are united" come within yards of the Pegida rally.
The controversial anti-Islam group Pegida is gathering in Newcastle's Bigg Market. The group has urged extreme right-wing groups planning to join its first British demonstration to keep protests peaceful.
Counter protestors begin their march from Gallowgate to Newgate Street. Both roads have been closed since 10:30am. There are no plans to close Clayton Street or Grainger Street.
Police said the city centre is likely to be busy all day as there are also Newcastle United and Gateshead football matches. Officers may need to close other roads temporarily.
Crowds supporting Newcastle Unites have met at Gallowgate for a counter protest against the Pegida rally taking place at the Bigg Market.
The crowd will march to Newgate Street.
Community leaders, politicians, union representatives and member of the public are gathering in Newcastle to hold a counter-demonstration as Pegida host their first rally in the UK.
Newcastle Unites expect around 2,000 people to support them as they march from Gallowgate to Newgate Street.
Public figures, including George Galloway MP and comedian Russell Brand, are expected to speak at the anti-Pegida march.
Police are gathering in Newcastle city centre as the first rally in Britain by a group opposed to what it calls the "Islamisation of Europe" takes place.
Demonstrators from the UK branch of German protest group Pegida are expected at the city centre's Bigg Market at 11.00 am.
A counter-demonstration by Newcastle Unites will also take place between Gallowgate and Newgate Street.
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Police investigating the alleged rape of a 19-year-old woman in Newcastle have released an image of a man they need to trace.
It happened at an address in Newcastle on Wednesday, September 24, between 00.30am and 1am. The woman had earlier met the man at Digital Night Club in the city centre.
Police investigating the incident have released an image of a man they need to identify and speak to in connection with the incident. Officers believe he may have information that could help with enquiries.
Anyone with information is asked to contact police on 101 ext 69191, quoting reference 53493G/14, or Crimestoppers anonymously on 0800 555 111.