Emotions have run high at a public meeting protesting against plans for a new prison in northern Tasmania which residents say will change the nature of their heritage town.

Key points: The Government wants to build a prison to house up to 270 inmates in northern Tasmania

The Government wants to build a prison to house up to 270 inmates in northern Tasmania Residents fear their heritage town will be changed by plans for the prison two kilometres away

Residents fear their heritage town will be changed by plans for the prison two kilometres away Hundreds of protesters vented their anger at a public meeting

Hundreds of Westbury residents have protested against plans to build a maximum security prison two kilometres north of the town.

The Tasmanian Government says the $270 million northern prison will be the most secure facility in the state.

Stage one will house 140 inmates but when completed in 10 years' time it will have capacity for 270 prisoners and remandees.

But Westbury residents have accused the Government of not consulting them about the proposed location, saying many did not knowing about the plans until seeing them in the media.

Many fear it will change the perception of the heritage region, and make it known as a "prison town".

The Government wants to build a new facility to house up to 270 prisoners when fully finished in 10 years. ( Supplied: Tasmanian Government )

Westbury resident, Heather Donaldson said the community was not kept in the loop.

"The thing that we hate most about this is that nobody asked us if we wanted this, we were completely blindsided. It would have been nice if we'd been asked at the beginning," she said.

"Tourism-based businesses depend on this village staying as it is. We'll fight this until the end."

Heather Donaldson says the community has been blindsided. ( ABC News: Jessica Moran )

Resident Liza DeLautour said it was unacceptable to have the prison in town.

"It's unfair, we shouldn't have to have this. We just feel like we were shafted," she said.

"This is a David and Goliath battle, and we need to remember David won."

Liza DeLautour says it's been a "David and Goliath battle". ( ABC News: Jessica Moran )

Concerns have also been raised about how close the prison is to the town, with most prisons nationally placed well away from built up areas.

The State Government says there will be further community consultation before a development application is lodged.