This Indian-style Butterscotch cake recipe, covered with whipped cream and topped with homemade Butterscotch sauce, butterscotch granules, and caramel decorations is a treat for everyone especially those who love butterscotch.

This cake is a  perfect blend of health, taste & looks. This recipe is eggless and uses wheat flour but without any compromises on sponginess and taste.

Butterscotch Cake Design
Butterscotch Caramel Cake with caramel decorations

Butterscotch flavor has always tempted me, especially in ice creams this is my favorite. Many years back, when I started making chocolates even then this flavor was a hit. Crunchy butterscotch in soft chocolate tastes too good.

So, a few days back, when I was thinking as to what to bake for my sister-in-law’s birthday then out of many flavors, butterscotch flavor cake popped up in my mind and I immediately started planning for it.  The last time, I baked Rasmalai Cake for her and it was a big hit so even this time I wanted something different n unique.

And today when she, saw the cake, her joy was unparalleled.  Both of them, my sister-in-law and brother-in-law, liked it wholeheartedly. They said that the taste was super awesome with the  Butterscotch flavor was all over. My brother-in-law also complimented me that it was a ‘cake to die for” (and from that only I got the title). I think this itself says everything.

Each bite of this Indian bakery-style Butterscotch cake is bursting with the butterscotch flavor as all the 3 cake layers have an ample quantity of homemade butterscotch granules too.


How To Make 

For making bakery-style butterscotch caramel cake you need butterscotch granules and butterscotch sauce too. I even used some caramel decorations but that is entirely optional.

I had thought of making these two things in advance, maybe a day earlier but couldn’t. But not an issue. While my cake was in the oven, I made these and was ready with all the ingredients. It’s just that the process became slightly hectic. Therefore, I suggest, that you do these things in advance for the simple reason that mentally you are at ease. And once you have these things ready then making a butterscotch cake is a breeze. I would say, simplest of all the frosted cakes as more than half the cake is covered with butterscotch granules. 

So, if you are planning to make it then the recipe is quite lengthy so be patient and read each section carefully. Actually, this recipe has 5 parts, namely:

  1. The base cake
  2. Whipped cream
  3. Butterscotch granules which is nothing but Praline
  4. Butterscotch Sauce or Caramel Sauce
  5. Caramel Decorations

The last two parts are totally optional. You can make butterscotch granules and butterscotch sauce in advance.


  Step By Step Recipe

A. For The Cake

Grease and dust the cake pan


sift all the dry ingredients


Whisk curd, oil, sugar and butterscotch essence


Mix dry ingredients into the wet mix


Adjust consistency of the batter


Add vinegar in the last


cake pan with the cake batter in it


cooling the Butterscotch Cake on the wire rack



B. Butterscotch Granules

Making praline or Butterscotch Granules


C. Butterscotch Sauce (Caramel Sauce)

Caramel Sauce getting ready


D. Caramel Decorations

Caramel Decorations


E. Whipped Cream

Whipped Cream


F. Assembly

Butterscotch Cake frosting preparations


soaking the cake with sugar syrup


icing done on the cake
Butterscotch Cake getting ready


Q) Butterscotch granules are the same as Praline or different?

A) Yes, they are the same.

Q) Can I use cashews in place of almonds while making butterscotch granules?

A) Yes. You can use any nuts of your choice while making butterscotch granules. You can use cashews or peanuts or almonds.

Q) Is it necessary to roast almonds for making butterscotch granules?

A) No, not necessary but roasting definitely enhances the taste, that’s why it is recommended to do so.


Some More Birthday Cake Recipes:


Let’s Connect!

So, how did you like this Butterscotch Cake recipe? Yes, a lot of work. Agreed. But do the preparations beforehand and then simply assemble everything and get ready to receive lots of compliments.

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Indian Butterscotch Cake Recipe

A cake loaded with butterscotch granules and caramel


For The Cake (1 Cup=240 ml)

  • 1.25 Cups 160 g Wheat Flour
  • 1/4 Cup 25 g Corn Flour
  • 1 Teaspoon Baking Powder
  • 1/2 Teaspoon Baking Soda
  • 1/4 Teaspoon Salt
  • 1/4 Cup Oil
  • 2 Tablespoon Butter at room temperature
  • 3/4 Cup Curd at room temperature
  • 3/4 Cup Sugar granulated
  • 1 Teaspoon Butterscotch essence
  • 1/2 Cup approx Milk, at room temperature
  • 1 Tablespoon Vinegar

For Butterscotch Granules

  • 1/4 Cup Almonds
  • 1/2 Cup Brown sugar
  • 2 Tablespoon Water

For Butterscotch sauce

  • 1 Tablespoon Butter
  • 1/4 Cup Brown Sugar
  • 2 Tablespoon Cream
  • 1 Teaspoon Vanilla Extract

Caramel Decorations

  • 1/4 Cup White Sugar

For Frosting

  • 250 ml Non-Dairy whipping Cream
  • 1/4 tsp Butterscotch Essence
  • A Dash Yellow Colour


For The Cake

  • Preheat oven at 170 degrees for 15 minutes. In the meantime do the following preparations.
  • Grease a 7" cake pan and dust it with flour. Keep it aside.
  • Sift wheat flour, corn flour, baking powder, baking soda, and salt atleast 3 to 4 times. Sifting aerates the flour which in turn makes the cake soft. A very important step,especially in wheat cakes, so do not under estimate it.
  • Take curd, sugar, milk (1/4 cup) butterscotch essence and oil in a bowl and whisk for 4 to 5 minutes till the mix becomes creamy. The more you beat at this stage the more porous the cake will be. Ensure that the curd and milk are at room temperature.
  • Fold dry ingredients into the wet mix in 2 or 3 batches. Do not mix it vigourously. Be gentle and use cut and fold method.
  • Adjust consistency using more milk, if required. The batter should be slightly thick forming a ribbon consistency.
  • Mix vinegar in the batter.
  • Pour the cake batter in the greased cake pan. Tap the pan 3 to 4 times so that bubbles if any are removed which helps in even baking of the cake.
  • Keep the cake pan in the middle rack of the oven, with only bottom rod ON. Do not use the upper rod, this is because the heat from the top cracks the cake.
  • Check after 30 minutes by inserting a tooth pick, though by this time your house will be filled with wonderful aroma of butterscotch. Take out or continue for some more time as the case may be.
  • After 5 minutes or so, invert the cake and keep it on a cooling rack. This is done so that the cake does not soggy from the bottom.
  • When cools down completely then before frosting, wrap it in cling film and keep it in the refrigerator, atleast for an hour. Better, if make it previous day. This is done so that the cake does not crumble while dividing into 2 or 3 parts.

For Butterscotch Granules

  • Roast almonds, either in oven or air fryer or in skillet.
  • When cools down completely, then crush these using a rolling pin.
  • Grease the back of a steel plate or a small portion of the kitchen counter
  • Heat sugar with water. Do not stir it, just shake the pan occasionally. When it dissolves fully and the liquid changes to amber colour then add roasted and crushed almonds. Toss nicely and spread the mix on greased plate/top.
  • After few minutes, when it cools down and sets then remove it and crush into small pieces. You can keep few big pieces and use them for decorating the cake. Keep these in an air tight container. Remains good up to a week, provided it is not the rainy season.

Butterscotch Sauce

  • Take butter in a pan. When it starts melting add brown sugar and let it caramelize on medium heat, shaking the pan off and on.
  • When sugar dissolves completely and the liquid changes to amber colour then lower the flame and very carefully add cream. Pour cream from one hand and keep stirring from the other hand. Be very careful as the syrup is extremely hot and may even splash when cream is added to it.
  • Boil the sauce for 3 to 4 minutes. It thickens on cooling so do not try to thicken it athis stage.
  • When it cools down completely, add vanilla extract or butterscotch essence. Store it in the refrigerator. You can also use it as a topping on your ice creams.

Caramel Decorations

  • Heat sugar in a pan. Shake the pan off and on. Do not add water. When the sugar melts, let it caramelise by turning into amber colour. You will have a thin syrup now. Switch off the flame. Wait for 5 minutes.
  • During this time, take almonds/roasted peanuts. Insert a tooth pick into each of these.
  • When the sugar syrup is warm (not hot) and is slightly thicker also then coat the nuts into it. As you remove you will see a string falling from it. Now stick the toothpick at a place. I used a boiled potato. Keep[ the boiled potato on a shelf or container and stick caramel dipped toothpicks.
  • When completely set, remove the toothpick carefully and use the decorations.

Whipped Cream

  • Keep the bowl and the beaters in the freezer for at least 30 minutes. This will save your time later on.
  • Take the chilled cream in the bowl and whip it. Within 3 to 4 minutes, cream will have soft peaks.
  • Add butterscotch essence and a dash of yellow colour. Beat again 2 to 3 minutes till you get stiff peaks.


  • Divide the cake into 2 or 3 layers. For dividing, make cuts all around the cake, just on the edges and do not go deep inside the cake. Now take a long thread (from your sewing box), place it between the cuts and hold it as shown below.
  • Now keep a hand on the cake and pull both the edges of the thread together. Very smoothly you will have 2 pieces. Similarly, divide it one more time. Thus, you have 3 cake layers.
  • Mix 2 tablespoon powdered sugar in 2 tablespoon water. Put this sugar syrup on all the parts, a tablespoon on each part. After 5 minutes, repeat the process. This makes the cake moist and soft.
  • Take the cake board, put a dollop of whipped cream on it and then place the bottom layer. This is done so that cake does not move and stays there easily.
  • Put a dollop of whipped cream and spread it.
  • Sprinkle some butterscotch granules.
  • Place second cake layer. Repeat the process.
  • Finally, place the third cake layer.
  • Cover the top of the cake as well as the sides of the cake with cream. This is called the crumb coat. Do not try for finishing at this stage.
  • Keep it in the refrigerator for half an hour or so.
  • Again apply whipped cream all over the cake.
  • Decorate the top as well as the sides of the cake with butterscotch granules, butterscotch sauce and caramel decorations.


  1. You can use all-purpose flour in place of wheat flour but use milk sparingly in that case.
  2. Salt enhances the taste of sugar so go ahead.
  3. Use any flavorless oil like groundnut, olive, etc.
  4. For the cake, no need to take powdered sugar, granulated sugar is fine.
  5. The quantity of milk may vary from 1/4 cup to 1/2 cup depending upon flour and consistency of curd used.
  6. Take care that the curd and milk are at room temperature. Therefore take these out of the refrigerator at least half an hour before making the cake.
  7. Vinegar makes the eggless cake extra spongy and porous so add it. You can substitute it with lemon juice too.
  8. For butterscotch granules, instead of almonds, you can take cashews or peanuts, or mixed nuts also.
  9. A Crumb coat is simply covering the cake with cream without finishing.
Keyword Butterscotch Caramel Cake, Eggless Butterscotch Cake Recipe


By Bhavana Sarin

Happy Feedback

14 Responses

  1. 5 stars
    Guys, Thanks For sharing this Great Recipe. My Family Loved it. I am definitely sharing this recipe and this website with my friend. Hope they also love it. Thank you again for sharing such a great recipe.

    1. Hi, Yes, you can but just one day or better if few hours only. Keep it in an airtight Container in the fridge.
      Incase, it becomes loose then you might have to whip it again but only for a minute or so.

  2. I am planning to make this cake for my kids 7 th birthday. So can we replace 3/4 cup curd with 3 eggs? And if so will everything else remain the same?

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