The BNP summer festival was also held in Denby last year
Police in Derbyshire have invoked special public order laws to restrict the number of protesters who plan to attend a BNP rally in Denby.
A number of groups have indicated their intention to stage a protest on Saturday in response to the event.
Police said they wanted to help prevent serious disorder, damage to property and disruption to the local community.
They anticipated more than 1,000 anti-BNP protesters would turn up and have limited that number to 700.
The British National Party (BNP) is staging the Red, White and Blue event at a site on Codnor-Denby Lane between 15 - 17 August.
The Derby Racial Equality Council and Unite Against Fascism groups will hold a rally to coincide with the BNP event.
Part of the Public Order Act has been used to impose conditions on the public procession, which will take place between Codnor Market Place and Codnor-Denby Lane.
A limit has been set which will allow a maximum of 700 people to take part.
Asst Chief Constable Peter Goodman from Derbyshire Police said: "We are trying to find a balance between allowing legitimate protest and maintaining public safety and minimising inconvenience to people who live or work in the affected area.
"We hope that people will abide by the law and enjoy the opportunity of voicing their opinions in safety."
Rally organisers said it would be a peaceful event to bring different communities together.