Graham Taylor could be on the brink of an emotional return to Vicarage Road.

The Watford Observer understands that discussions have been held with the Hornets’ most successful manager over recent weeks with a view to him becoming a director on the club’s new board.

It is believed the 64-year-old is seriously considering the possibility of returning to Watford where he will always be regarded as a legend after guiding the Hornets to the top flight of English football on two occasions, as well as being the only Vicarage Road boss to take his team into Europe and to an FA Cup Final.

Interim chairman Andrew Wilson is thought to be close to finalising a new board following the resignations of Graham Simpson and Mark Ashton last month, and the composition of it could be announced to the Stock Exchange shortly.

This would be within the timeframe Wilson announced at December’s annual meeting when he told shareholders: “My intention is to put together a broad-based independent board of at least five people and that the board will have the normal committees of a normal board.

“Until the people I have approached, and continue to approach, indicate they are prepared to serve, then I can’t say when they will be appointed, but I intend for them to be in place by the end of January.”

If the club’s honorary life president does take up a formal position at Vicarage Road for a third time, it would bring added credibility to the new board in the eyes of the majority of fans and enhance the belief that the “old Watford” – as manager Brendan Rodgers termed it this week – could return.

It would also be a strong endorsement of Jimmy and Vince Russo, both as people, as well as their ethos and plans for taking Watford forward.

The Italian brothers were again at Vicarage Road on Saturday to see the Hornets beat Taylor’s hometown club, Scunthorpe United, in the FA Cup and it is very likely they will return to the board following a near 18-month absence after they were removed in May 2007.

Although Watford’s second largest shareholders have remained largely tight-lipped following December’s extraordinary meeting where Simpson resigned, it is thought they will seek to bring stability and apply a common sense approach to running a club whose costs will have to be reduced further unless new investment can be found.

But if Taylor does take up a directorship, the question on many supporters’ lips will be whether it will herald a more formal return to Vicarage Road for the man with whom he has enjoyed such a successful association – Sir Elton John.

The rock star made a dramatic return to Watford on Friday of last week – less than two months after resigning his life presidency – when he flew into the club’s London Colney training base to meet players and staff and show his support for the new regime, but it is not known if the two-time chairman intends for his role to become essentially more than ambassadorial.