The ex-Manchester United player will reportedly be the subject of an insolvency hearing in London today, according to The Sun.
Yorke is thought to have sold his £2.25 million Cheshire mansion that he once shared with Price after his company assets plummeted to just £2.
A source told the publication: “Dwight's been desperately trying to get his finances back on track over the past year as his company's assets dwindled to just £2.”
“He even sold the Cheshire mansion he used to share with Katie. He got £2.25million last year but that clearly hasn't helped.”
The insider added: “When you think of how successful Dwight was as a player, it is really quite difficult to believe it has come to this.”
Yorke is the father of Price’s 16-year-old son Harvey. He initially disputed paternity but he was proven to be the father after a DNA test was carried out.
Price avoided being declared bankrupt after a High Court hearing over her finances was adjourned for nearly three months at the beginning of August.
A judge at the Rolls Building in central London agreed to put off a hearing while the ex-glamour model tries to reach an agreement with her creditors.
Price was once estimated to be worth £45 million and has reportedly been fighting against bankruptcy for the last few months following the breakdown of her third marriage and the collapse of her clothing company, KP Boutique.
A representative for the reality TV star said: “Katie is aware of the hearing and is working with her advisers to resolve her current financial issues.
“She hopes to be in a position to do so and reach agreement with her creditors.