Channel 5 bosses are said to have agreed a deal with a "playboy prince" who is worth several millions.
The royal is also a keen adventurer, loves dogs and has dated a string of stars and socialites, according to the Daily Star.
A show source said: "This is a major coup for us. We fully expect the likes of Kate and William to tune in."
If true, it will be the first time that someone of royal connection has entered the Big Brother house.
Coronation Street actress Julie Goodyear, Dog the Bounty Hunter star Duane Chapman and comedian Julian Clary have been linked to star in the latest series.
The year's second run of Celebrity Big Brother will start on Wednesday, August 15 at 9pm on Channel 5, with a two-hour launch episode hosted by Brian Dowling.
Watch Brian Dowling talking about Celebrity Big Brother below: