Australian taxpayers will pay for Queensland Senator Fraser Anning's return flights to Melbourne after he attended a far-right rally yesterday.

The Queensland senator insists he was representing his local constituents on the interstate trip as his state is experiencing violence from African gangs.

The controversial senator is adamant the rally was attended by "ordinary working people" rather than radicals or skin heads.

Politicians have called into question Senator Fraser Anning’s right to stand in parliament after he attended a far-right rally in Melbourne yesterday. (AAP)

A struggle to keep the peace has been witnessed at Melbourne's St Kilda Beach as far-right and anti-racism protesters faced off. (AAP)

"The truth is that attempts to claim that this rally was a 'far right' event appear to be left wing media attempts to distract attention from the purpose of the protest - African gang violence," he said in a statement today.

"The only people who were doing Nazi salutes were the far left extremists one hundred metres away who came to try to disrupt a peaceful rally," he said.

The senator - who now sits as an independent after being booted from the Katter Australia Party following his defection from Pauline Hanson's One Nation - attended the right-ring event on Saturday at St Kilda beach alongside its organisers, convicted criminals Blair Cottrell and Neil Erikson.

Left-wing activists attended the beach to confront a far-right group looking to 'discuss' Melbourne's youth crime problem. (AAP)

The officers were put on standby for hours prior to the two meetings. (AAP)

Cottrell and Erikson were convicted in 2017 for inciting contempt and ridicule of Muslims by making a video in which they beheaded a dummy with a toy sword. (9NEWS)

Several hundred people attended the rally, which Cottrell and Erikson claim was a response to recent incidents in which youths have mugged people along the popular bay.

Three people were arrested yesterday at the duelling rallies.

The first was held by anti-racism campaigners ahead of the right-wing event.

Police from the riot and dog squads, as well as transit branches, attended the beach in the hundreds. (AAP)

The showing was organised by convicted criminals Blair Cottrell and Neil Erikson. (9NEWS)

Senator Anning uploaded several videos to his Facebook page with Cottrell, posing for photos and making inflammatory remarks about migration.

Deputy Labor leader Tanya Plibersek condemned the senator's attendance at the rally, describing it as "disgusting".

"I think the vast majority of Australians would be disgusted to think their taxes are paying for an Australian senator to attend an event which seeks to divide, not unite our country," she told reporters in Sydney.

Ms Plibersek has called on Prime Minister Scott Morrison to condemn the senator's attendance.

Despite taking to Twitter to blast the “ugly racial protests,” Mr Morrison remained quiet on Senator Anning.

Mr Morrison thanked the hundreds of Victorian police officers who took to the air, sea and land to control Saturday's event, while calling Australia the most successful migrant country in the world.

"This has been achieved by showing respect for each other, our laws and values and maintaining sensible immigrations policies," the prime minister tweeted.

Labor leader Bill Shorten also took to Twitter to condemn the event, but was also silent on Senator Anning's attendance.

Independent Wentworth MP Kerryn Phelps said the rally should be called out for being a "demonstration by a neo-Nazi group".

Greens Senator Sarah Hanson-Young said the government should refuse to take Senator Anning's vote after his involvement in the event.