Tommy Robinson, whose real name is Stephen Yaxley-Lennon, and his second cousin Kevin Carroll were accused of trying to defy a ban on marching to the scene of the murder of soldier Lee Rigby via a major mosque.
The CPS decided they will not have to answer a charge of obstructing police after prosecutors deemed there was "insufficient evidence" against them.
The pair each denied a charge of obstructing police outside Aldgate East Tube station in east London on June 29.
The pair were attempting to stage what they claimed was a charity walk to Woolwich Barracks in south east London via the East London Mosque, with a plan to lay flowers in memory of Fusilier Rigby in Woolwich on Armed Forces Day.
Police said they offered two alternative routes that avoided Tower Hamlets, home to the East London Mosque, and warned that anyone who tried to march to Woolwich would face arrest.
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A CPS spokeswoman said: "Both defendants were charged by police with obstructing a police officer in the execution of her duty, contrary to s89(2) Police Act 1996. The file was then passed to CPS London to prepare the prosecution case.
"When this case was reviewed, the lawyer concluded that there was insufficient evidence to prove that the actions of the suspects amounted to the offence of obstructing a police officer in the execution of her duty, contrary to s89(2) Police Act 1996. We therefore discontinued the case."
The pair, who set up the EDL in 2009, announced their withdrawal from the group earlier this month.
Yaxley-Lennon will appear at the same court later today to answer two further public order charges relating to an EDL demonstration in East London on September 7.
He is accused as a public assembly organiser of failing to comply with the condition of limiting speeches at the rally to 30 minutes.
He is also alleged to have incited others to breach the condition.
He has indicated that he will plead not guilty to the charges.