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Butterscotch Cake with Caramel Icing

Butterscotch Cake with Caramel Icing: A Decadent Dessert for Any Occasion

If you’re a fan of rich, buttery flavors, then this Butterscotch Cake with Caramel Icing is the dessert for you! With its tender, moist layers and a creamy caramel frosting that melts in your mouth, it’s a perfect treat for special celebrations or even just a cozy night at home. In this article, you’ll find a detailed recipe with tips, variations, and FAQs to help you create the ultimate cake.


For the Cake:

  • 2 Cups Brown Sugar
  • 1/2 Cup Butter
  • 1 teaspoon Vanilla Extract
  • 2 Large Eggs
  • 2 Cups All-Purpose Flour
  • 1 teaspoon Baking Soda
  • 1 teaspoon Baking Powder
  • 1/2 teaspoon Salt
  • 1 Cup Buttermilk

For the Caramel Icing:

  • 1 1/2 Cups Brown Sugar
  • 1 Tablespoon All-Purpose Flour
  • 1/4 Cup Butter (plus 2 tablespoons for later)
  • 1/4 Cup Milk
  • 1 teaspoon Vanilla Extract

How to Make Butterscotch Cake with Caramel Icing

Step 1: Prepare the Cake

  1. Preheat your oven to 350°F (175°C). Grease and flour two 9-inch round cake pans, or line them with parchment paper for easier release.
  2. Cream the butter and brown sugar in a mixing bowl using an electric mixer on medium speed until light and fluffy. This will give the cake its soft texture.
  3. Add the vanilla extract and then beat in the eggs, one at a time. Mix on low speed just until incorporated.
  4. Sift the dry ingredients in a separate bowl. Combine the flour, baking soda, baking powder, and salt.
  5. Alternate adding the dry ingredients and buttermilk to the butter mixture, starting and ending with the dry ingredients. Mix on low speed until just combined.
  6. Divide the batter evenly between the two pans. Bake for 25-30 minutes, or until a toothpick inserted into the center of the cake comes out clean.
  7. Cool the cakes in the pans for 10 minutes, then transfer them to a wire rack to cool completely before frosting.

Step 2: Make the Caramel Icing

  1. Combine brown sugar, flour, and 1/4 cup of butter in a small saucepan.
  2. Add the milk and cook over medium heat, stirring frequently to prevent burning. Bring the mixture to a boil and let it cook for about 1 minute, or until it reaches 238°F on a candy thermometer.
  3. Remove from heat and stir in the vanilla extract and 2 tablespoons of additional butter. Let the icing cool, stirring occasionally, until it’s thick enough to spread.
  4. Frost the cake once it’s completely cool. Work quickly, as the icing will set as it cools, forming a smooth, glossy layer over the cake.

Tips for the Perfect Butterscotch Cake

Serving Tips

  • Room Temperature: For the best flavor, serve this cake at room temperature. If it has been refrigerated, let it sit for about 30 minutes before serving.
  • Cutting the Cake: Use a sharp knife to slice the cake for clean, elegant pieces. For a more gourmet presentation, garnish each slice with a sprinkle of sea salt or a drizzle of extra caramel sauce.

Storage Tips

  • Short-Term: Store leftover cake in an airtight container at room temperature for up to 3 days.
  • Long-Term: Refrigerate the cake to keep it fresh for up to 1 week. Ensure it’s well-covered to prevent it from drying out.
  • Freezing: You can freeze the cake for up to 3 months. Wrap it tightly in plastic wrap and aluminum foil before freezing. Thaw the cake overnight in the refrigerator before serving.

Frosting Tips

  • Consistency: The caramel icing can set quickly, so make sure to spread it immediately after it’s cool enough to handle but still warm.
  • Reheat if Needed: If the icing gets too thick while you’re working with it, gently reheat it on the stove until it’s spreadable again.
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Variations to Customize Your Cake

If you want to make this cake uniquely yours, try one of these fun variations!

1. Nutty Butterscotch Cake

Add 1/2 cup of finely chopped pecans or walnuts to the batter for added crunch and a nutty flavor.

2. Chocolate Butterscotch Cake

For a chocolate twist, add 1/2 cup of unsweetened cocoa powder to the dry ingredients, or mix chocolate chips into the batter.

3. Spiced Butterscotch Cake

Incorporate 1 teaspoon of ground cinnamon, 1/2 teaspoon of nutmeg, or a pinch of ground cloves into the batter for a cozy, spiced flavor.

4. Cream Cheese Frosting

Substitute the caramel icing with a cream cheese frosting for a tangy contrast. Mix 8 oz. of softened cream cheese, 1/2 cup of butter, 2 cups of powdered sugar, and 1 teaspoon of vanilla extract.

5. Maple Caramel Icing

Swap the brown sugar in the caramel icing for pure maple syrup to infuse the icing with a warm maple flavor. Adjust the milk to achieve the desired consistency.


Frequently Asked Questions (FAQs)

1. Can I use margarine instead of butter in the cake?

Yes, you can use margarine instead of butter, but the flavor and texture might not be as rich. Butter gives the cake a creamier, more tender crumb.

2. How can I make the caramel icing thicker?

Let the caramel icing cool a bit longer and stir it occasionally until it reaches your desired consistency. If it’s still too thin, you can add a bit more powdered sugar.

3. Can I make this cake ahead of time?

Yes, you can bake the cake up to 2 days in advance. Just wrap the cooled cake tightly in plastic wrap and store it at room temperature. Frost it just before serving.

4. How should I store leftover cake?

Store leftover cake in an airtight container at room temperature for up to 3 days, or refrigerate for up to a week. To keep it fresh longer, freeze the cake for up to 3 months.

5. Can I freeze the cake?

Yes, you can freeze the cake. It’s best to freeze it without the frosting. Once the cake is cool, wrap it tightly in plastic wrap and aluminum foil. Thaw it in the refrigerator overnight before frosting and serving.

6. What can I use instead of buttermilk?

If you don’t have buttermilk, you can make your own by mixing 1 cup of regular milk with 1 tablespoon of lemon juice or white vinegar. Let it sit for 5 minutes before using.

7. How can I prevent the cake from being dense?

To avoid a dense cake, be sure to measure your flour correctly (spoon it into the measuring cup and level it off) and don’t overmix the batter.

8. Can I make cupcakes instead of a full cake?

Yes! You can use this same recipe to make cupcakes. Bake them for about 15-20 minutes, or until a toothpick comes out clean.

9. What if my caramel icing crystallizes?

If your caramel icing crystallizes, gently reheat it while stirring. Adding a bit more milk can help restore a smooth consistency.

10. Can I add nuts to the batter?

Absolutely! Chopped nuts like pecans or walnuts can be folded into the batter to add extra texture and flavor.


This Butterscotch Cake with Caramel Icing is a true crowd-pleaser. Whether you’re making it for a special occasion or simply as a weekend treat, this cake is sure to impress. With its soft layers and rich caramel frosting, each bite will be an indulgence worth savoring. Enjoy experimenting with the variations and tips to make it uniquely yours!