According to Heat magazine, the 38-year-old - who has previously starred in Legally Blonde and Tell Me On A Sunday in London's West End - has joined Westlife's Nicky Byrne, Girls Aloud singer Kimberley Walsh and Tracy Beaker star Dani Harmer as part of the tenth series lineup.
"Denise has loads of rhythm and she's superfit so she should be a great contestant," said a source. "She's never done ballroom before but she's certainly got the raw materials to wow on the dance floor."
The official BBC Twitter feed for the show confirmed Byrne's involvement earlier today (September 8) and has since teased the announcement of further contestants.
The programme's producers were said to be keen to capitalise on Team GB's impressive performance at the London 2012 Olympic Games and are rumoured to have targeted athletes including Louis Smith, Victoria Pendleton and Beth Tweddle.
Strictly Come Dancing returns on Saturday, September 15 on BBC One. Watch a trailer - featuring new judge Darcy Bussell - below: