Less than a mile to the north is the small town of Craven Arms and 6 miles to the south east is the larger, historical market town of Ludlow. Stokesay was once a civil parish, which covered the land now taken up by Craven Arms. However it merged with Halford parish to form the modern day Craven Arms parish. These two older entities continued as parish wards, however a review of the governance of Craven Arms in 2012 concluded in the abolition of these two wards from May 2013.
The River Onny runs past Stokesay, on its way south, and the bridge which carries the A49 over the river is Stokesay Bridge. Within the former parish, to the south of the hamlet of Stokesay is Stoke Wood and the hamlet of Aldon; to the northeast is the hamlet of Whettleton.
Nearby, on the outskirts of Craven Arms, is the Shropshire Hills Discovery Centre, with its grass roof easily seen from the A49. Also in Craven Arms is the nearest railway station, which for over a hundred years was named Craven Arms and Stokesay, before a rename in 1974.