Forces Sweetheart Dame Vera Lynn said she had “no idea” her White Cliffs of Dover would be included on a BNP-backed CD.
The controversial right wing party have put the track on a nationalistic album named after the iconic song, which they are currently selling through their trading arm Excalibur.
The collection of songs include the Second World War classic and another Dame Vera Lynn hit All Alone in Vienna - both of which have been apparently included without permission.
The album is selling for £4.95, with a portion of the cash going towards the BNP’s party funds.
Dame Vera Lynn, who lives in Ditchling, is said to be in talks with her legal team over the song’s appearence on the album.
Her solicitor Nigel Angel said: "Her position is that the song was included without her approval.
"She does not align with any political party.
"I will be discussing it with her further."
The 91-year-old, who is reknowned for her relentless fundraising, donates proceeds from songs she has sung to British troops to charity.
Norman Baker, MP for Lewes, said: "The BNP will try to imply they have the support of individuals by this kind of action when they clearly don't have their support – it's extremely regrettable."
In November the BNP came under fire in Sussex when it claimed it had received an official invitation to lay a wreath at a war memorial on Remembrance Sunday by Horsham District Council – the claim was found to be untrue.
This week the Church of England announced a ban on clergy joining the BNP as it was classed by them as a 'racist' party.
The BNP which describes itself as “the foremost patriotic political party in Great Britain” has supported campaigns for white supremacy and the reintroduction of corporal punishment.
A book about Dame Vera's life called One Sunny Day is due to be published by Harper Collins in June.
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