Yes it can cause this feeling , reason being the pudendal nerve is in the whole genital area ( goes up to the brain ) it's a motory and sensory nerve .
It's in the urethra, clitoris , vulva , vagina , rectum everywhere .
It's other main job is the sensation of orgasms , so irritated bladder can very often give the feelings of arousal OR arousal due to an irritated pudendal nerve can give the feelings of a UTI ( chicken and egg ) .
There is a condition called PGAD permanent genital arousal disorder .
If UTI is not seeming to be the problem , then a specialist women's health physio can help a lot , as she probably also has a hypertonic ( over tight pelvic ) which tightens around the pudnedal nerve.
Obviously this is all “ guess work “ from what has been said , but once all obvious things are ruled out via specialists then this is where I would head.
BTW your average specialist won't know about this , it's quite specialist .