Butterscotch Cake

The buttery, brown sugar flavor of butterscotch shines in every element of this beautiful amber-hued cake. Two round layers of cake, tender from the addition of buttermilk, are flavored with melted butterscotch chips. More butterscotch chips melt into the sticky pecan and coconut mixture that fills and crowns the top of the cake, a cousin to German chocolate cake topping. Leave the sides of the cake naked or frost them with your favorite recipe for buttercream. Can’t get enough of that butterscotch flavor? Try some of our other favorite butterscotch recipes.

Ingredients for Butterscotch Cake

• Butterscotch chips: We love how butterscotch baking chips capture the brown sugar and butter essence of butterscotch. In this recipe, they flavor both the cake batter and the filling layer.
• Water: Melting the baking chips into a little water helps carry the butterscotch flavor throughout the cake batter.
• Shortening: Whipped into a fluffy texture with the sugars, shortening helps provide the lift and structure for butterscotch cake. You can substitute butter, if you like.
• Sugar and brown sugar: A combination of two sugars, white and brown, sweetens the cake batter. Brown sugar, a key ingredient in butterscotch sauce, infuses the cake batter with that hallmark molasses flavor.
• Eggs: Beaten eggs provide the cake batter with structure and elasticity. Note that it’s best to use room-temperature eggs when baking.
• All-purpose flour: Flour is the base of this butterscotch cake recipe. You can substitute a gluten-free all-purpose flour blend.
• Baking soda and baking powder: A combination of baking powder and baking soda, which reacts with the acidity of the buttermilk to contribute lightness and lift, leaven this butterscotch cake.
• Buttermilk: Buttermilk is the primary liquid in the cake batter. Its acidity helps keep the batter tender and its flavor balances the sweetness of the butterscotch and sugars.
• Cornstarch, evaporated milk and egg yolk: A cooked mixture of evaporated milk, sugar, water and egg yolk forms a glossy base for the butterscotch icing and cake filling.
• Butter: A little butter in the icing helps emulsify the gooey icing base with the butterscotch chips so they melt evenly.
• Pecans and coconut: Chopped pecans and shreds of sweetened shredded coconut adds texture to the butterscotch cake filling between the cake layers and on top of the cake. You can swap another type of nut for the pecans, if you prefer.
• Buttercream frosting: To get the look of our butterscotch cake we frost the sides with a simple buttercream. The white against the orange color of the butterscotch makes for a striking look. Use any buttercream recipe you like, or opt for a store-bought frosting.

Directions 

Step 1: Prepare cake pans and melt butterscotch chips

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Preheat oven to 375°F. Line two greased 9-inch round baking pans with waxed paper; set aside. In a microwave, melt the butterscotch chips with 1/4 cup water at 70% power for 1 minute; stir. Microwave at additional 10- to 20-second intervals, stirring until smooth. Cool to room temperature.

Step 2: Make butterscotch cake batter

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In a large bowl, cream shortening and sugars until light and fluffy, 5 to 7 minutes. Add eggs, one at a time, beating well after each addition. Beat in butterscotch mixture. Combine the flour, baking soda, baking powder and salt; add to creamed mixture alternately with buttermilk just until combined.

Step 3: Bake butterscotch cake layers

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Pour batter into prepared pans. Bake until a toothpick inserted in the center comes out clean, 25 to 30 minutes. Cool for 10 minutes before removing from pans to wire racks to cool completely.

Step 4: Cook filling mixture on the stovetop

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In a large saucepan, combine sugar and cornstarch. Stir in evaporated milk and water until smooth. Cook and stir over medium heat until thickened and bubbly. Reduce heat; cook and stir for two minutes longer. Remove from the heat. Stir a small amount of the hot filling into the egg yolk; return all to the pan, stirring constantly. Bring to a gentle boil; cook and stir for two minutes longer.

Step 5: Finish and cool filling mixture

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Remove from the heat. Gently stir in chips and butter. Stir in pecans and coconut. Cool to room temperature without stirring.

Step 6: Assemble butterscotch cake

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Place one cake layer on a serving plate; spread half of the filling on top. Top with the second layer and the remaining filling. Frost sides with buttercream frosting. Store in the refrigerator.

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Butterscotch Cake Variations

• Add chocolate: Use chocolate chips in place of the butterscotch chips to make the filling and topping mixture.
• Take a shortcut: Use a cake mix for the layers, folding in butterscotch chips instead of melting them, and then make the filling and topping mixture and use as directed.
• Bake the cake in a different shape: You can bake this cake in a 10-inch bundt pan, a 9-inch tube pan, or two 8-inch round cake pans. You can also make it into 18 to 24 cupcakes or in a 9x13x2-inch pan, but the batter will be spread into a considerably thinner layer in these last two options, so it will bake more quickly as a result.

How to Store Butterscotch Cake 

Store butterscotch cake at room temperature, covered with a cake dome (or plastic wrap, though it may muss the frosting a bit) for up to two days. Refrigerate the cake for longer storage. Refrigeration will harden the filling and make it more sticky. Allow slices to come to room temperature before serving for the best texture.

Can you make butterscotch cake ahead of time?

Yes, you may prepare the cake ahead of time by baking the cake layers, and then freezing them. The filling is easiest to work with if you prepare it just before using it. You can fill and frost the cake using the frozen layers and then let the whole thing sit, at room temperature, until serving.

Can you freeze butterscotch cake?

The cake layers can be frozen for up to two months. In order to freeze cake, allow it to cool completely after baking, then wrap each layer tightly in plastic wrap, and double-wrap in foil. Let thaw in the fridge, then fill and frost before serving. You can also wrap and freeze individual slices of leftover cake. Defrost them in the fridge.

Butterscotch Cake Tips

Sheri Silver for Taste RecipesButterscotch Cake Recipe photo by Taste Recipes

What’s the difference between butterscotch and caramel? 

Whereas caramel is made by cooking white sugar at high temperatures until the sugars begin to brown, butterscotch is made from a combination of brown sugar and butter melted together that doesn’t require the same high temperatures to cook. Continue cooking butterscotch to high temperatures and you’ll get toffee, which has a brittle texture.

Can you use caramel baking chips instead of butterscotch chips in this recipe?

Though your resulting cake will have a slightly different and less rounded flavor profile, you can make a caramel layer cake using caramel baking chips in place of the butterscotch chips in this recipe.

Can I use milk or cream instead of evaporated milk?

We don’t recommend using milk or cream instead of evaporated milk here. Evaporated milk is thicker than milk and thinner than heavy cream. And take care not to confuse evaporated milk with sweetened condensed milk, which, while delicious, is another ingredient altogether. If you do need to substitute, half-and-half cream would be your best option in terms of matching the texture of evaporated milk.