Dan Hannan hits the nail on the head when it comes to trying to link free market policies and facism:
To be absolutely clear, I don’t believe that modern Leftists have subliminal Nazi leanings, or that their loathing of Hitler is in any way feigned. That’s not my argument. What I want to do, by holding up the mirror, is to take on the equally false idea that there is an ideological continuum between free-marketers and fascists.
The idea that Nazism is a more extreme form of conservatism has insinuated its way into popular culture. You hear it, not only when spotty students yell “fascist” at Tories, but when pundits talk of revolutionary anti-capitalist parties, such as the BNP and Golden Dawn, as “far Right”.
What is it based on, this connection? Little beyond a jejune sense that Left-wing means compassionate and Right-wing means nasty and fascists are nasty. When written down like that, the notion sounds idiotic, but think of the groups around the world that the BBC, for example, calls “Right-wing”: the Taliban, who want communal ownership of goods; the Iranian revolutionaries, who abolished the monarchy, seized industries and destroyed the middle class; Vladimir Zhirinovsky, who pined for Stalinism. The “Nazis-were-far-Right” shtick is a symptom of the wider notion that “Right-wing” is a synonym for “baddie”.