President Donald Trump’s budget office has rescinded a memo freezing spending on federal grants, less than two days after it sparked widespread confusion and legal challenges across the country.

The White House budget office on Wednesday rescinded an order freezing federal grants, according to a copy of a new memo obtained by The Washington Post, after the administration’s move to halt spending earlier this week provoked a backlash.

The freeze on hundreds of billions of dollars of federal grants had been temporarily halted by a judge on Tuesday.

The OMB memo had directed federal agencies to pause grants and loans pending a review of compliance with the agenda of President Donald Trump.

An internal OMB document shows that it is official administration policy to block funding to provoke a constitutional challenge.

The new memorandum, just two sentences long, will allow agencies to continue their normal operations after uncertainty over the impact of the initial directive caused widespread chaos across government. It followed a temporary injunction by a federal judge that prevented the original Office of Management and Budget memo from taking effect.

The White House said on Wednesday it was prepared to fight in court after a U.S. judge temporarily blocked part of the Trump administration's sweeping directive to pause federal loans, grants and other financial assistance.

A temporary freeze imposed briefly this week by the White House on federal grants and loans left many students wondering about the impact to the FAFSA form used to apply for financial aid

A temporary freeze imposed briefly this week by the White House on federal grants and loans left many students wondering about the impact to the FAFSA form used to apply for financial aid. President Donald Trump's administration on Wednesday rescinded the memo freezing spending.

The Trump admin's federal funding freeze will not impact individual assistance going directly to Americans, Karoline Leavitt said during her first press briefing.

The White House on Monday ordered a pause on federal grants and loans, according to a memo, but the Department of Education said the freeze will not affect student loans or financial aid for college.