Bishop's Castle has plenty of facilities for residents and tourists, coffee houses, cafés and restaurants, the House on Crutches, a museum of country life, and the Rail & Transport Museum, the two micro-breweries and the old cattle market in the centre of the town. Beyond that, there is a significant number and variety of shops, local businesses and services ranging from clothes shops to the usual high street banks.

The town has a few events throughout the year in which the High Street is closed and processions, stalls and entertainment is held. Four main festivals are: the Carnival - 1st Sunday in July. The Beer Festival the Friday and Saturday after the Carnival, Michelmas Fair - the end of September and the Christmas Lights Festival on the first Saturday in December.

The music scene is vibrant and the town is renowned locally for this thriving musical environment. There are five main venues situated in the town: the Three Tuns, the Public Hall, the Vaults, the Church Barn, and the Six Bells.

Bishop's Castle also possesses a vibrant sporting community. Sports played by local clubs include: Cricket, Football, Rugby, Women's Hockey, Squash & Tennis.

Bishop's Castle is a "Walkers are Welcome Town", gaining the award in(2008). The long distance path The Shropshire Way runs through the town and Offa's Dyke is only a few miles away to the west. The ancient Kerry Ridgeway, a pre-Bronze Age route, runs from the town.