About 700 people have gathered in Launceston to protest against the federal budget.

It is nearly three weeks since the federal budget was handed down but another rally opposing its measures is being held in Launceston today.

Cuts to education and health and changes to Newstart are the main targets.

Kevin Lumb from the Salvation Army told the crowd the proposed $7 co-payment for seeing a doctor will force Tasmanians to choose between medical care and putting food on the table.

He also said he believed a 30 per cent drop in takings for the Salvation Army’s red shield appeal in Launceston this year is because of fear over the budget.