Paweł Rełowicz, a 24-year-old Polish father of two, was arrested on Wednesday night at a house on Raglan Street, about half a mile from Miss Squire&apos;s home.
"We are still treating Libby&apos;s disappearance as a missing persons inquiry. I have said previously that we are keeping an open mind as to her whereabouts and that is still very much the case.
The footage, obtained by ITV News, appears to show a man sitting with his legs out the driver&apos;s side door of a parked vehicle in Hull, close to where the philosophy student is thought to have disappeared.
Earlier this week, Miss Squire&apos;s parents, Lisa and Russ, issued a statement thanking people for their support in trying to find their daughter.
Craig Hopkins, who set up the page, wrote: "Libby&apos;s parents obviously have a tremendous amount to deal with at this time and the last additional problem they need is any financial concerns, especially as their daughter is a student in Hull, which is a considerable distance from the family home in Buckinghamshire.
"Even if you can only spare a few pounds, please do so, as all money raised will be sent to Libby&apos;s parents to assist them financially at this emotionally challenging time."