Kerry Katona has been bailed on suspicion of assaulting her accountant, a police source said.

Kerry, 28, was arrested after an incident in Warrington, Cheshire, in which David McHugh was attacked.

The mother-of-four, from Wilmslow, Cheshire, who was cautioned this week for possessing cocaine, was also taken into custody on suspicion of committing criminal damage and a public order offence.

The row with Mr McHugh was alleged to have happened at his business premises at the Hawthorne Business Park.

The ex-Atomic Kitten singer was released in the early hours from Daresbury custody suite near Runcorn.

A Cheshire Police spokesman said: “A 28-year-old woman has been released and granted police bail until 12 October at 9am pending further investigation.”

The former winner of ITV’s I’m A Celebrity… Get Me Out Of Here! hit the headlines less than two weeks ago when a national newspaper published a video of her snorting cocaine in the bathroom of her home.

Kerry was dropped as the face of frozen food chain Iceland following the revelations.

She fled the country for a family holiday in Tenerife but arranged to meet police at her local station upon her return.

The caution followed Kerry’s public apology for her drug use through a national newspaper.