The Barnsley keeper was joined by veteran Millwall midfielder Shaun Derry and Preston striker Kevin Davies on this week's Football League Hour on Sky Sports News Radio and they all believe the talented young midfielder would benefit more from another season at Pride Park.
Hughes, who has been linked with a £10million switch to Anfield, has attracted rave reviews for his performances for Derby over the past 12 months.
Steele, the Barnsley captain, also speaks about the Tykes' start to the new season, the mood after surviving relegation last year and the arrival of former Bayern Munich midfielder Dale Jennings.
Derry, meanwhile, is hopeful that his experience can help Millwall overcome a poor start to the season as they prepare for Saturday's clash at Sheffield Wedneday.
Later in the show, Crewe manager Steve Davis joins hosts Mikey Burrows and Dean Windass to discuss his targets for this year. He also urges former Alex midfielder Nick Powell to leave Manchester United on loan if he is to progress in the game.
There's also some great stuff from Dean Windass on the dirty tricks agents play in forcing their players to move, with the former Middlesbrough man admitting he used the newspapers to engineer a better deal at The Riverside.
To hear the full show, plus more from Steele, Derry, Davies and Davis, download the latest Football League Hour.
Tune into tune Sky Sports News Radio every Thursday from 7pm for more exclusive interviews from the Football League.