Morgan moves to Shrewsbury on-loan to the end of the season.
A Wales U19 international, Morgan came through Swansea City's youth system before making his move to the Bees in 2023.
Speaking about the loan move, Brentford B head coach Sam Saunders said: “Iwan has been a fantastic player to coach and he has consistently shown his quality in front of goal as well as his all-round contribution to the team outside of just the goals.
“This loan represents a fantastic opportunity for Iwan to showcase what he is about. Your first loan can be testing at times, but we are confident in his mindset, professionalism and ability to handle any challenges that come his way.
"We wish Iwan the very best of luck for this next step in his development”
