No it's not incitement but an indication of how people feel about terfs
Fucking hell. 
Misogyny may not be a hate crime, but homophobia most definitely is.
A homophobic hate crime is:
“Any criminal offence which is perceived, by the victim or any other person, to be motivated by a hostility or prejudice based on a person’s sexual orientation or perceived sexual orientation.”
report-it.org.uk/homophobic_and_transphobic_hate_crime
I perceive this poster to be homophobic because:
a) the term 'Terf' is widely used as hate speech against lesbians
b) it is therefore inciting violence against lesbians for 'excluding' male bodies.
b) the phrase 'protect trans lives' used on a poster inciting violence against lesbians is homophobic propaganda, suggesting that lesbians are physically attacking trans people.
I also perceive the misogynist Labour councillor's comments to be homophobic, and motivated by hostility towards lesbians. Instead of condemning verbal or physical attacks on lesbians, he has himself chosen to use a lesbophobic slur in his tweet, which certainly gives the impression that he agrees with (rather than condemns) those who believe that lesbians should be burned because their sexuality excludes men.
An offence needs to be committed before this counts as a hate crime. Under the Public Order Act 1986, the use of 'threatening, insulting or abusive' words or writing to another person whereby that person is likely to believe that such violence will be used or it is likely that such violence will be provoked or is within the hearing or sight of a person likely to be caused harassment, alarm or distress thereby is an offence under Part 1, sections 4 (Fear or Provocation of Violence) and 5 (Harassment, Alarm and Distress).