Officers are investigating the assault which took place at an address on Atherley Road between 21:30 and 23:30.
A woman in her 40s sustained head and leg injuries during the incident, according to Hampshire Constabulary.
Police have remained at the property overnight and forensic investigators have arrived this morning to gather evidence from the scene.
A 32-year-old woman from Shanklin has been arrested on suspicion of causing grievous bodily harm with intent and remains in custody at this time.
It has been confirmed that this incident is not linked to another incident at the same time at nearby Shanklin Train Station, in which a man died.
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