Bishop's Castle is a small market town in the southwest of Shropshire, England, and formerly its smallest borough. According to the 2011 Census it had a population of 1,893.

Bishop's Castle is 1.5 miles (2.4 km) east of the Wales-England border, about 20 miles (30 km) north-west of Ludlow and about 20 miles (30 km) south-west of Shrewsbury. To the south is Clun and to the east is Church Stretton. The town is within an agricultural area and has also become known for its alternative community including artists, musicians, writers and craftspeople. The surrounding area is hillwalking country and Bishop's Castle is a "Walkers are Welcome Town", gaining the award in 2008. The long distance footpath the Shropshire Way runs through the town and Offa's Dyke is only a few miles to the west.