The defender, who has not featured since September’s league visit of Tottenham Hotspur, having suffered a lower leg fracture, shared the news on our Matchday Live show as a pundit for our men’s FA Cup trip to Southampton.
And previewing Wednesday night’s FA Women’s Super League clash against Everton, Taylor confirmed the 21-year-old has stepped up her recovery.
“Esme is doing well,” he said. “She is back on pitch.
“A lot of the rehab has taken place inside. That can be difficult when you are stuck in a room with four walls.
“It is great to get out on the pitch. It is fantastic. I am going to go out and give her some support and see how she gets on because our session doesn't start for a couple of hours.
“Losing Esme was a huge one because of her versatility in the back line. She is someone I enjoyed working with because she is a young talent who is willing to learn.
“She is a huge prospect for the future but she is for the now as well.
“It is great to see her back, great to see her with a smile on her face and we’re looking forward to getting her back in the squad.”
Having had the opportunity to rotate in Sunday’s FA Cup quarter-final win over the Toffees, Taylor was asked whether he would ring the changes once more for the league encounter with another game against Birmingham looming at the weekend.
“We will see,” he replied. “They look like winnable games and everyone expects us to but we pay full respect to the opposition.
“We have less time between this game and the game on Sunday. In that respect, there is a little bit of muscle soreness and fatigue but everyone has checked in well.
“We will make a decision after. I think one of the most pleasing things is how strong everyone has looked recently. We look like we’re in top form.
“In terms of the squad, everyone is complementing each other well.”
Though City stormed to a 4-0 win against the Merseysiders at the weekend, Taylor asserts the midweek meeting will prove a different prospect.
The Head Coach warned against complacency with his side eager to take advantage of our game in hand over third-placed Manchester United.
“Playing back-to-back is interesting,” he admitted. “Usually, it happens where you are at home and then away.
“We are in the situation where there are two home games and two different competitions.
“It's strange but quite exciting in terms of what you are going to see from the opposition. We are in a pretty good place in that so far.
“Who knows [how Everton will approach the game]? I think if we hadn't broken the deadlock with Lauren [Hemp] in the first half, they might have looked at it and thought they had been successful.
“That is the interesting thing in terms of the unpredictability of it. The unpredictability is the exciting part for us. That’s the challenge and it's why we play the game.
“I think it’s good and for us it has come at the right time. It’s not early in the season when we are a new team coming together.
“The players are adapting really well and like I said on Sunday, they are finding the solutions really well.
“I think it’s something the players will enjoy and we’re ready for challenge. It’s a good opportunity. It’s good in that respect that it is a home game. We are in a good vein of form.
“It is important we focus on the performance. We are in good shape and we just need to make sure we maintain the high standards.”