  A gauge invariant regularisation which can be used for non-perturbative
treatment of Yang-Mills theories within the exact renormalization group
approach is constructed. It consists of a spontaneously broken SU(N|N)
super-gauge extension of the initial Yang-Mills action supplied with covariant
higher derivatives. We demonstrate that the extended theory in four dimensions
is ultra-violet finite perturbatively and argue that it has a sensible limit
when the regularisation cutoff is removed.
