Ultimate Butterscotch Cake

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This Butterscotch Cake is a moist, from-scratch brown sugar cake topped with butterscotch buttercream made with melted butterscotch chips! The cake is covered in more butterscotch chips and totally to die for!

Side view of a full Ultimate Butterscotch Cake on a green cake stand

I have been wanting to share a butterscotch cake for so long, it’s hard to remember when I even made the first version. All I know is that it was several years ago. I wasn’t having the success I wanted with a moist cake that was full of butterscotch flavor, so I held off. Fast forward to now. I went back to the butterscotch cake drawing board and this cake was born! I started with my newest Moist Vanilla Cake and adjusted things from there.

I have several versions of vanilla cake on this site, but my newest one is a favorite for a few reasons. First, I love the texture of it – so soft and more fluffy than some of the others. Another reason is the simplicity of the ingredients and the use of whole eggs, rather than egg whites. It makes it a pretty simple butter-based cake from scratch and I love it!

How to make Butterscotch Cake

For this butterscotch cake, I swapped out the regular white sugar for brown sugar. Brown sugar is what you’re going to find in butterscotch sauce, so it’s what you’ll find in this cake as well. It gives the flavor here and helps make a nice, moist cake.

The other addition is some butterscotch pudding mix, added as just the powder. You could totally leave it out and still enjoy the flavor of this cake, but there’s no doubt that the pudding mix adds some totally awesome flavor! It’s not over-the-top butterscotch flavor, but it’s that warm butterscotch-y flavor that is so wonderful. And when it’s paired with the butterscotch frosting, it’s like taking a bite of heaven!

A slice of Ultimate Butterscotch Cake next to a fork on a white plate
Side view of a full Ultimate Butterscotch Cake on a green cake stand

Speaking of the butterscotch frosting, this is WHERE IT’S AT! Oh em gee. This frosting. I died. So, so good. You seriously won’t want to stop eating it. It’s a classic buttercream made with butter, powdered sugar and some cream or milk, but it’s got the addition of melted butterscotch chips. An entire bag of melted butterscotch chips. 🙂 Oh yes.

When the cake layers and the frosting are made – if you’ve managed to not devour everything already – it’s time to put the cake together. Layer it all together, frost it and then immediately press more butterscotch chips into the sides of the cake. If you wait, the buttercream will form a light crust on the outside and the butterscotch chips won’t stick to the sides anymore. I’d suggest having another full bag (or 2) handy. You probably won’t use them all, but it’d be so sad to run out of them. Not only does the cake look so fun with them all pressed into the sides, they are SO YUMMY! Can you tell I love me some butterscotch?

This might be the most dangerous cake to have come through my kitchen in a while. If there was a fork and the cake nearby, I was eating it. Fortunately my mom was visiting and wanted me to freeze some for her, or I would have eaten entirely too much of this thing. It’s moist, sweet, delicious and totally butterscotch. I’m several months away from my birthday, but at this moment I’m already planning on making this again for that occasion. YUM!!

A slice of Ultimate Butterscotch Cake next to a fork on a white plate

Watch How To Make It

Read transcript

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Homemade Butterscotch Sauce

Print
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A slice of Ultimate Butterscotch Cake next to a fork on a white plate
Recipe

Ultimate Butterscotch Cake

  • Author: Life, Love and Sugar
  • Prep Time: 1 hour, 30 minutes
  • Cook Time: 25 minutes
  • Total Time: 1 hour, 55 minutes
  • Yield: 12-14 slices
  • Category: Dessert
  • Method: Oven
  • Cuisine: American

Description

This Butterscotch Cake is a moist, from-scratch brown sugar cake topped with butterscotch buttercream made with melted butterscotch chips! The cake is covered in even more butterscotch chips!


Ingredients

Butterscotch Cake

  • 2 1/2 cups (325g) all purpose flour
  • 3.4 oz butterscotch instant pudding mix
  • 3 1/2 tsp baking powder
  • 1/2 tsp salt
  • 3/4 cup (168g) unsalted butter, room temperature
  • 1 1/2 cups (337g) packed light brown sugar
  • 3 tbsp vegetable oil
  • 1 tsp vanilla extract
  • 4 large eggs
  • 1 1/4 cups (300ml) milk

Butterscotch Frosting

  • 1 1/4 cups (280g) unsalted butter, room temperature
  • 11 oz butterscotch chips, melted
  • 6 1/4 cups (719g) powdered sugar
  • 1/2 tsp salt
  • 1/2 cup (120ml) milk or cream

Additional

  • 1214 oz butterscotch chips, for decorating

Instructions

1. Prepare three 8 inch cake pans with parchment paper circles in the bottom and grease the sides. Preheat oven to 350°F (176°C).
2. Combine the flour, pudding mix, baking powder and salt in a medium sized bowl and set aside.
3. Add the butter, brown sugar and vegetable oil to a large mixer bowl and beat together until light in color and fluffy, about 3-4 minutes. Do not skimp on the creaming time.
4. Add the eggs and vanilla extract and mix until completely combined and smooth. Scrape down the sides of the bowl as needed to be sure all ingredients are well incorporated.
5. Add half of the dry ingredients to the batter and mix until mostly combined.
6. Add the milk and mix until well combined. The batter will look a little curdled, but that’s ok.
7. Add the remaining dry ingredients and mix until well combined and smooth. Scrape down the sides of the bowl as needed to be sure all ingredients are well incorporated. Do not over mix the batter.
8. Divide the batter evenly between the cakes pans and bake for 22-25 minutes, or until a toothpick comes out with a few crumbs.
9. Remove the cakes from the oven and allow to cool for about 2-3 minutes, then remove to cooling racks to cool completely.
10. To make the butterscotch frosting, add the butter to a large mixer bowl and beat until smooth.
11. Slowly add the melted butterscotch chips and mix until well combined.
12. Add about half of the powdered sugar, the salt and half of the milk or cream and mix until well combined.
13. Add the remaining powdered sugar and mix until smooth.
14. Add the remaining milk or cream as needed to get the right consistency of frosting. Set frosting aside.
15. To put the cake together, use a large serrated knife to remove the domes from the top of the cakes so that they’re flat, if needed. The cakes should be pretty flat already. Place the first cake on a serving plate or a cardboard cake round.
16. Spread about 1 cup of frosting into an even layer on top of the cake.
17. Add the second layer of cake on top of the frosting.
18. Add another cup of frosting on top of the cake and spread into an even layer.
19. Top the cake with the remaining layer and frost the outside of the cake. Refer to my tutorial for frosting a smooth cake, if needed.
20. Press butterscotch chips into the sides of the cake immediately after frosting it.
21. Use the remaining frosting to pipe shells around the border of the cake.
22. Store cake in an airtight carrier. Cake is best when eaten within 3-4 days.


Nutrition

  • Serving Size: 1 Slice
  • Calories: 798
  • Sugar: 96.9 g
  • Sodium: 461.3 mg
  • Fat: 33.3 g
  • Carbohydrates: 121.2 g
  • Protein: 6.9 g
  • Cholesterol: 132 mg

Categories

Enjoy!

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147 Comments
  1. Wendy

    This cake was a huge success! I’m unfamiliar with butterscotch, but made it as a tribute to a butterscotch-loving friend who had passed. I totally followed the recipe except I under baked the cake (I always do–it has something to do with a dry cake being a cardinal sin in my family lol). I got tons of compliments and have shared the recipe multiple times already. The hardest thing for me was finding the butterscotch chips. I did find both instant and cook & serve pudding at my store (I used instant, as called for in the recipe).

  2. Mads

    I would love to try this recipe but don’t want to use butter ,Can I substitute butter altogether with oil ,if yes what will be the quantity

    1. Lindsay

      You can’t really cream oil and sugar together, so it would mess up the mixing method of the cake. You’d have to adjust the method and I’m not sure how it’d turn out.

  3. Hope

    I’m planning on making this for my birthday next week, and wondering about cooking times in a bundt pan. Do y’all think doubling the time then checking every 5 minutes sounds good?

    1. Lindsay

      I’m not sure how it’d be in a bundt pan, but your thinking on the time seems about right. Just keep an eye on it.

  4. Krystal

    I made this for an employee’s birthday at the office and it was a hit! I followed the recipe, but switched it to cupcakes. Will be making again!!






  5. Sarah

    Super tasty! Made for my husband’s birthday since he is a big butterscotch fan. He doesn’t love overly sweet things and we both thought this was the perfect amount of sweet. I was not able to find instant butterscotch pudding. I saw a few comments asking if Cook & Serve butterscotch could be substituted. That’s what I used and it turned out delicious! I don’t know for sure if it’s identical to the original, but the flavor was good and the cakes rose normally with no issue with the bake. Just wanted to throw that out there in case anyone else had trouble finding the instant pudding mix!

Lindsay
About Lindsay

I’m the baker, recipe developer and photographer behind Life, Love and Sugar. I love sharing trusted recipes with helpful tips to give you great results.

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