Hodgson will be looking for a replacement following the decision of Chelsea’s John Terry to retire from international football with Manchester United’s Ferdinand the most likely choice.
But Shilton believes that Hodgson should look beyond the United veteran as there are a lot of other quality English centre-backs in the Premier League.
"His (Ferdinand’s) time has gone. We have to look to the future and I would look to the youth,” he told BBC Sport.
“(Gary) Cahill is someone I've always admired and I thought (Joleon) Lescott had an excellent Euros. At the moment, I'd go with those two."