The S Club 7 singer and her professional partner Brendyn Hatfield made their skating debut in the competition in Movies Week, having been unable to take part the week before because she had injured her wrist in rehearsal.
But after the public vote landed her in the skate-off alongside Lorraine entertainment reporter Hebden the judges voted to save the popstar - and sent Hebden home.
Following the skate-off - Hebden's second of the series - judge Ashley Banjo said: "It's not normally this tough this early on - you both did a really great job. But there was one skate which had a little bit more finesse so the could I'm going to save is Rachel and Brendyn."
Oti Mabuse agreed: "I thought the both of you skated so well, I am going to go for the couple I thought was more secure and felt more effortless and that's Rachel and Brendyn."
Jayne Torvill said: "You both came out and gave it your all, but the smoothest performance was Rachel and Brendyn."
With three votes against them it meant that Hebden and her skating partner Lukasz Rozycki were out of the show, but head judge Christopher Dean revealed he would also have saved Rachel and Brendyn.
Presenter Holly Willoughby told Hebden that her smile had lit up the room and said: "I'm just so sad to see you go."
The 39-year-old TV presenter said she will continue to skate with her young daughter Lula, who was in the audience and had been delighted to see her perform as Elsa from Frozen 2 for Movies Week.
Hebden said: "We've had so much fun its been an incredible journey. I'm going to continue skating, I'm going to teach Lula, it's going to be our thing."
She added: "We've absolutely loved it, everybody, thank you, it's just extraordinary this show. And I hope it's brightened up everyone's Sunday evenings, because we've ad the time of our lives."
Movies Week saw Pussycat Kimberly Wyatt top the leaderboard for her performance to The Greatest Show from The Greatest Showman.
But the highlight of the evening was Bez from the Happy Mondays performing a stunt-filled Indiana Jones inspired routine - albeit with a crash helmet underneath his fedora.
A Dancing On Ice spokesperson said: "During rehearsals for this Sunday’s show, Kye fell on the ice and sustained an injury and will therefore not perform in this weekend’s show."
Last year's Dancing On Ice suffered a record number of celebrity drop-outs, with five celebrities forced to leave the cast over injury and testing positive for COVID, and a number of the pro skaters also injured.
Watch: Bez fall in Dancing On Ice training