French judges investigating an alleged misuse of EU funds by Marine Le Pen's far-right party have decided to block €2 million of state subsidies due to be handed out to the party, Le Pen and a judicial source said on Sunday.

In France, political parties receive public subsidies that depend on how they fare in elections.

Le Pen's National Rally, known for decades as the National Front before changing its name last month in a bid to shed a brand associated by many voters with racism and anti-Semitism, was due to receive the $2.35 million tranche in the coming days.