Houghton will retire as City’s record appearance holder and most decorated player, with four Continental Cups, three FA Cups and one WSL title since joining ahead of the 2014 WSL campaign.
The City boss said it was a privilege to work with the City captain and that she was a driving force in the dressing room.
“She’s meant so much to the team and particularly in my time,” he told Matchday Live.
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“She was obviously someone that I knew from being at the Academy as a coach and we crossed paths a lot.
“I was really blown away by her enthusiasm and the level of drive that she had to motivate not just herself but the team on a daily basis.
“Then I had the opportunity to work with her and it was a privilege.
“This season was a different type of season for Steph, playing less. But she contributed off the pitch and with the girls she’s incredible.”
Taylor also reflected on our 2-1 defeat to Arsenal that means the title race will go to the final game of the season.
Watch Gareth’s interview in the video above…