The allegations come as police in Manchester arrest a 24-year-old man in connection with the bombing.
As it stands 18 people have been arrested in connection with the investigation, of which six people have been released without charge.
This latest arrest means an 11th suspect is now in custody, joining 10 other men aged between 18 and 44.
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The man, arrested on May 23, has been released without charge.
Current and former intelligence officials have stated that Salman Abedi, the Manchester terrorist who killed 22 people at a concert in England, met with Islamic State (ISIS) members in Libya.
On Friday, two of Abedi's cousins, Isaac and Abz Forjani, said they had no idea he was planning the attack.
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Before the arrest, police evacuated the area and called out bomb disposal team to remove the auto from the area in southern Manchester which was visited by Salman Abedi, the bomber who died in May 22 explosions. Detective Chief Superintendent Russ Jackson said: "This is potentially a significant development in the investigation".
ISIS said a "soldier of the caliphate" was responsible.
Abedi was born in Manchester to Libyan parents, who moved back to Tripoli in recent years, along with his younger siblings.
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The vehicle was found close to Banff Road, near an address counter-terrorism police believe Abedi visited in the days leading up to the attack.