MP Louisa Wall said she stands by her 'terf' comment, which has been labelled as hate speech, but she apologises for swearing to make her point.

A politician expressing her support for a marginalised community in New Zealand is being accused of hate speech.

The banning of police from marching in uniform at next year's Auckland Pride Parade has caused an uproar, with several high profile organisations pulling their support from the event.

At a heated Pride hui discussing the ban, a secret recording captured MP Louisa Wall saying: "My whole thing is that I don't want any f... TERFs at the Pride Parade".

Speak Up for Women said that Wall's use of the word 'TERF' at the November 18 meeting targeted them.

READ MORE:

* ​Auckland Pride Parade's hui over police uniform ban turns into 'a circus'

* NZ Police 'banned' from wearing uniforms to Pride Parade

* MP Louisa Wall speaks out about receiving death threats in fight for LGBTIQ rights

TERF, trans exclusionary radical feminist, is a term used to describe those who opposed the inclusion of trans people in female spaces and organisations.

Speak Up for Women spokeswoman Georgina Blackmore said Wall was using the "abusive" term TERF as a "political dog-whistle".

Blackmore said SUFW are "gender critical feminists" who consider people free to believe whatever they wish about their gender.

"Many of our supporters are lesbian women. Ms Wall has no right to tell any lesbian, regardless of her beliefs, that she cannot attend Pride," Blackmore said.

Earlier, a Speak Up for Women spokesperson said "the word 'terf' is hate speech used to belittle and threaten anyone who rejects the premises or conclusions of transgender ideology".

"It is used to dehumanise and incite violence. New Zealand deserves better."

Following the public release of a recording of her speech, Wall said she apologised for swearing to make her point, but she stood by what she said.

"I stand by my comments that TERFS or any group that proclaims trans women are not women, and should not be able to self-identify and therefore change details on their birth certificates via statutory declaration are fundamentally discriminating against the human rights of trans women."

Wall's comment was made in the middle of her speech, which said trans exclusion and marginalisation was huge and unacceptable.

"I feel grateful that my identity gives me the access to services I need. Our trans whānau do not experience life as we do. We have to support them," she said during the meeting.

This comment was met with a large cheer and applause from the crowd.

Historically there have been issues with corrections and police, she acknowledged.

"But the police are doing an amazing job of diversifying," Wall said.

Applications for women and other races have increased, she added.

"We all need to take a big deep breath and focus on what pride is all about. As of us want the same thing."