It’s claimed the star - who also represented the UK at Eurovision in 2009 - ran into financial trouble having invested all her money in her music career, which hit the skids when the Sugababes went on hiatus in 2012, and then failed to regroup.
“Jade put her all into her music but sadly things simply haven’t gone well," a source told The Sun.
Jade joined the girlband not long after her Eurovision stint, replacing axed member Keisha Buchanan.
However, the new line-up failed to recreate the chart success the band had enjoyed in the past, and the trio told fans they were taking a break to pursue solo projects.
Jade told Digital Spy in 2013: "The band being over is definitely not my choice. I kind of was unlucky in that I came in [to Sugababes] towards the end of the cycle when things naturally came to the end.
"There was so much drama surrounding the group, I think the music just got lost. I don't like all the drama and the negativity. We kind of fizzled out about two years ago."
The Sugababes first hit the charts in 2000 with single ‘Overload’, when the line-up consisted of Mutya Buena, Siobhan Doherty and Keisha Buchanan.
But the time the group called it quits, there were no original members left, while Mutya, Keisha and Siobhan had reunited to form their own new group, MKS.
However, their debut single ‘Flatline’ in 2013 only reached number 50 in the UK chart, and they have failed to release anything since.
HuffPost UK have reached out to Jade’s representatives for comment.