Jagielka spent six years at Town between 1997 and 2003, where he made 207 appearances in all competitions, scoring 23 goals.
The former versatile midfielder was living in Rodington and passed away at the beginning of the week.
Brother of Sheffield United defender Phil, Sale-born Steve was a popular member of the Shrewsbury squad and was involved in Town’s great escape victory at Exeter in 2000. He also played in the historic FA Cup victory over Everton.
In recent years he turned out for Shrewsbury legends teams in charity matches.
Jagielka, who joined Shrewsbury from Stoke, moved to Sheffield United in 2003 and then turned out for Accrington Stanley.
He enjoyed a spell with AFC Telford United in 2007 and also featured for Market Drayton Town and Ellesmere Rangers, where he was part of a management team.
The attack-minded midfielder helped Telford to Setanta Shield success in 2009, where he played in the final, a penalty shootout victory over Forest Green.
He was a popular member of Rob Smith's side between 2007 and 2009.
Current Telford boss and former team-mate Gavin Cowan said: "I am absolutely devastated to hear of the passing of my friend & ex-team mate Jags.
"Only recently we shared some memories of our playing days together. He was a great character to be around. My heart goes out to his children & family, he will be incredibly missed."
Jagielka, who only turned 43 last week, was one of just a select group of players to play more than 200 games for the club since 2000.