Caramel Butterscotch Sauce: An Easy 2-Step Recipe

Name: Caramel Butterscotch Sauce
Prep time: 5 min
Cook time: 5 min
Total time: 10 min
Ingredients: 70 grams unsalted butter; 105 grams brown sugar (approx. ½ cup); 100 ml cream (thickened ); 1/4 tsp salt

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Last Updated on 16 August, 2026 by Elby | The Tasteful Pantry

Homemade caramel butterscotch sauce is so easy to make. 4 ingredients and 2 steps and 10 minutes is all it takes to create a rich, silky topping. Serve it warm over ice cream, pancakes, apple crumble or sticky date pudding, or keep a jar in the fridge for those occasions when dessert needs a little help.

More Recipes for a Sweet Tooth

Ingredients

unsalted butter
brown sugar
thickened cream
salt

A Homemade Butterscotch Sauce Recipe?

This caramel butterscotch sauce recipe brings together the rich caramelised flavour of brown sugar and butter, while using just enough cream to create a thick, pourable texture.

Step 1: Combine the ingredients in a small saucepan and stir over low heat, until the butter has melted.

butter, cream, brown sugar and salt in a saucepan ready to make caramel butterscotch sauce

Step 2: Bring to a simmer and cook, uncovered and without stirring, for 4 minutes or until the sugar has dissolved and the mixture has thickened slightly.

caramel butterscotch sauce cooking in a pot

Serving, Storing and Tips

Reheat gently in the microwave or on the stovetop – the sauce will thin when heated and thicken when cooled
Drizzle over any number of sweets; sticky date puddings, baked pears, ice-cream, pancakes – but try to save some for others!
Add extra salt, for a ‘salted’ version
Gift it in a small jar tied with twine – it makes a cute homemade present
Store in a clean, airtight jar in the fridge for up to 1 week

a bowl of vanilla ice cream with butterscotch sauce — *Homemade caramel butterscotch sauce on vanilla ice cream*

FAQ

Why does the sauce thicken as it cools?

The butter, sugar and cream firm slightly as their temperature drops. Don’t worry if the warm sauce initially looks thinner than expected; give it a little time before deciding it needs further cooking.

How do I reheat caramel butterscotch sauce?

Warm it gently in a small saucepan over low heat, stirring occasionally. You can also microwave it in short bursts, stirring between each one. Add a small splash of cream if the reheated sauce is thicker than you’d like.

How long does homemade butterscotch sauce keep?

Store the cooled sauce in a clean, airtight container in the fridge for up to one week. Avoid repeatedly reheating the entire batch; spoon out only what you need.

Can I use salted butter?

Yes, although you’ll need to reduce or leave out the added salt. Taste the finished sauce once it has cooled slightly and add more salt only if needed.

Is caramel butterscotch sauce gluten-free?

The basic ingredients are naturally gluten-free, but check the packaging if you’re cooking for someone with coeliac disease or a serious gluten intolerance.

Feedback and More: Did you try the caramel butterscotch sauce recipe? Leave a star rating ⭐⭐⭐⭐⭐ or a comment below to let me know how it was. Cheers, Elby!

If you liked this recipe, check out some of my other sweet desserts! Also, follow The Tasteful Pantry on Instagram, Facebook and Pinterest for all the latest recipes.