The 46-year-old TV star - who recently failed to attend a hearing relating to her bankruptcies - was arrested at Heathrow Airport on Thursday as she made her return to the UK.
Price has been remanded in custody and she is due to appear at the Royal Courts of Justice on Friday.
The former glamour model was recently seen in Turkey with bandages on her face and it's thought that she flew to the country in order to undergo surgery.
An arrest warrant was issued for Price in July after she failed to attend a court hearing.
The TV star was scheduled to appear at a bankruptcy court in London on July 30, having previously been warned that she must attend the hearing or face being arrested.
Insolvency and Companies Court judge Catherine Burton confirmed that Price has been given "very clear warnings" about what would happen if she failed to attend the hearing.
"It is in my judgement necessary that the court issue a warrant for Ms Price's arrest," the judge said.
"She has no real excuse in failing to attend today's hearing. The reason for her absence today is irrelevant."
Barrister Darragh Connell, who represents the trustee for Price's two bankruptcies, confirmed to the court that Price would be detained to ensure she attended a hearing.
Price would "not be kept in custody for a long period of time".
"Her liberty is on the line, but unfortunately we are at the end of the road in relation to this matter," he said.
Price was declared bankrupt in 2019 and again in March over an unpaid tax bill worth more than Stg750,000 ($A1.5 million).
However, she previously questioned the logic of sending her to prison.
"It would cost them more money to put me in prison than out," she said.
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