The Tories' new housing tsar claimed Hungarian Jews form part of 'Soros Empire' and boasted about being friends with Hungarian President Viktor Orban.
Sir Roger Scruton was announced on Saturday as the chair of the Conservative’s new "Building Better, Building Beautiful" commission.
But MPs have called for the outspoken academic and writer to be removed from his post after his anti-Semitic and anti-Islamic comments surfaced.
In August this year Sir Roger has boasted of his links with Hungary's Prime Minister Viktor Orban who has relentlessly campaigned against George Soros, claiming that the Hungarian-Jewish billionaire poses a threat and even dubbing a law which bans Hungarians from helping illegal immigrants the 'Stop Soros' law.
Sir Roger praised the Hungarian premier describing him as someone he has “known for years, ever since he was 19 or 20”, as “ a very intelligent and striking character”.
And he aped Mr Orban's language when he said in a speech delivered recently in Hungary: “Many of the Budapest intelligentsia are Jewish, and form part of the extensive networks around the Soros Empire.”
Labour's shadow housing secretary John Healey has asked the Secretary of State James Brokenshire to explain the appointment in light of Sir Roger's comments which were unearthed by left-wing blog Red Roar.
Jewish Labour MP Luciana Berger tweeted: “An individual who peddles antisemitic conspiracy theories has no place advising government about anything."
She urged the prime minister to intervene and for the Government to "urgently reconsider his appointment”.
It is not the only offensive comments Sir Roger has made.
He addressed the Traditional Britain Group as a guest of honour in 2015.
The group has a policy of deporting millions “to their natural homelands” but denies being a far-right group.
Jacob Rees-Mogg was slammed for addressing the group in 2013 and later said it was a mistake.
In 2006 Scruton addressed members of the far-right Belgian party Vlaams Belang, whose official policy is to repatriate all immigrants who they believe “reject, deny or combat our culture”.
He praised them for being “willing to brave” charges of Islamophobia.
He has a history of dismissing Islamophobia saying: “when people invent a phobia to explain all criticism of Islam … they wish to hide the truth”.
Labour MP Wes Streeting joined calls for the Tories to sack Sir Roger.
He asked: "How on Earth did the Secretary of State responsible for *communities* appoint this guy? Does any major party do proper vetting anymore?! What is it with the Tories and Orbán? James Brokenshire should remove him immediately.
And after further revelations he added: "It gets worse and worse. James Brokenshire must surely now realise that he has made a terrible error of judgement in appointing Roger Scruton to a government post. He must dismiss him immediately."
The Ministry for Housing, Communities and Local Government insisted due diligence had been carried out prior to Sir Roger's appointment as chair.
A spokesman for MHCLG said: “Professor Sir Roger Scruton, as a long-standing public intellectual, has strong views on a number of issues.
“He received a knighthood in 2016 and advised the Coalition government on design.
“His commitment to driving quality in the built environment is well known and he has published extensively on architecture and place, which makes him an excellent candidate for the unpaid chairmanship of the Building Better, Building Beautiful commission.”
Sir Roger later tweeted a statement in which he said he had been "offended and hurt" by suggestions he is anti-Semitic and Islamophobic.
He said: "Following my appointment as the unpaid chairman of the government's advisory committee on Building Better, Building Beautiful, I have been offended and hurt by suggestions I am anti-Semitic or in any way 'Islamophobic'.
"Nothing could be further from the truth, and I wish to rebut these incorrect assertions.
"If people actually read my comments regarding the interplay between George Soros and Hungary they will realise they are not in any way anti-Semitic, indeed quite the opposite.
"Only two years ago I supported George Soros by making representations to Prime Minister Orban's regime to keep open the Central European University so that intellectual freedom could continue to flourish in Hungary.
"My statement on Islamic states points only to the failure of these states which is a fact.
"My views on Islam are well known and can be found in my books The West and The Rest."