This is hands down the best caramel cake I’ve ever had! It consists of super moist vanilla brown sugar cake layers, topped with a luscious and deep flavored caramel frosting that isn’t sickly sweet. This is a Southern style caramel cake recipe – a caramel lovers DREAM cake!

Why You’ll Love This Caramel Cake
My number one problem when it comes to caramel cakes, is that they’re usually way too sweet! What I love about this recipe (and what I think you’ll love!) is that the caramel isn’t overly sweet, and doesn’t compromise on caramel flavor AT ALL!
Caramel Frosting
The caramel frosting used for this recipe is the type used in Southern caramel cake recipes, which involves cooking down a combination of butter, sugar and evaporated milk, until you reach a thick, golden brown caramel sauce. You then add in cream to thin it out so you can use it as a frosting.
The process does take a bit of time (the total time on average is about an hour), but TRUST ME it is so worth it. I tried different types of caramel icing when developing this recipe, and this Southern style was by far the winner! It has a complex caramel flavor without being sickly sweet.
Cake Layers
This recipe uses vanilla brown sugar cake layers as the base. It’s a super moist, rich and buttery yellow cake, similar to my vanilla cake recipe, but with even more buttery flavour. The addition of brown sugar gives the cake a subtle caramel flavour (similar to my coffee cake and spice cake recipe) without it being overpowering – which really allows the frosting to shine!
For this recipe I used sour cream to give the cake layers a super tender crumb! You can substitute the sour cream with plain, unsweetened yoghurt or buttermilk if you can’t easily find it.
How to Make Caramel Cake
Caramel Cake Layers
First is the cake batter. Begin by Preheating your oven to 160 °C (320°F) with the fan on and grease or line (with parchment paper) two 8 inch cake pans (I use my homemade cake release). If your oven doesn’t have a fan option, then you will need to increase the baking temperature to 175°C/350°F.
Sift together all purpose flour, cornstarch, baking powder and salt. Using a whisk or fork, mix until well combined. Set aside for now.

In a large mixing bowl combine butter, vegetable oil, white sugar and brown sugar. Using an electric mixer on a medium speed, cream together for 2 minutes until light and creamy.
Add in eggs one by one, mixing well in between each addition (about 10-15 seconds between eggs).

Next add in sour cream and vanilla and mix until well combined. Now set your mixer aside as the remainder of the batter will be finished by hand.
Finish off by adding in half of your premixed flour mixture to your wet ingredients, and gently fold it in with a spatula until just combined. Then add in the milk, and fold it in until just combined. Lastly, add in the remaining dry ingredients and gently fold it into the mixture until just combined. Do not overmix.


Distribute the batter evenly into the two 8 inch cake tins, and bake for 28- 30 minutes or until a toothpick comes out clean.
Once baked, allow the cake layers to cool in the cake tins for about 15-20 minutes, and then turn them out onto a wire rack to completely cool before frosting with the caramel.

Caramel Cake Frosting
Place a large saucepan over a medium heat and add in butter, sugar, evaporated milk and salt. Allow everything to melt together and come to a simmer, stirring continuously. Once simmering, turn the heat down to a low-medium heat.

Allow the caramel to thicken up slowly for about an hour, stirring every few minutes to make sure the caramel isn’t burning. Be sure to check on it more frequently once it starts to thicken up as this is when it is more prone to burning. Once it is thick (see video for visual), and a deep golden brown colour, add in the cream and vanilla. Stir until the caramle is smooth, and then immediately pour it into a heat proof dish.
Allow the caramel to cool for about 25 minutes before frosting the cake. You still want the caramel to be slightly warm and runny when frosting the cake, as it sets up quickly once you come to using it.

Assembly
Once cakes are cooled, level the tops with a serrated knife so that the cake layers are flat.
Place the first cake layer onto your cake stand/serving platter and place a generous amount of the caramel frosting on top and smooth it out with an offset spatula or knife.

Place your next cake layer on top and cover the top and sides with more caramel frosting. Once the caramel starts to set up, you will notice it become shiny. You can run an offset spatula or knife gently on top of the shiny caramel and this will make everything super smooth! Decorate as you wish and enjoy!

Commonly Asked Questions
How do you store caramel cake?
This caramel cake can be left out at room temperature in an airtight container for a few days. After that it should be refrigerated and will last up to a week.
What do I do if my caramel is too thin?
If your caramel frosing is too thin and not setting up when you come to frosting the cake, it most likely just needs time to cool down further and firm up a bit more. Let it cool for another 20 minutes or so and this should do the trick. If it’s still not setting up when frosting the cake layers, then it means that you need to reduce the caramel over a stove top further.
What is my caramel too thick?
If the caramel is too thick, it’s most likely due to the caramel cooling down a bit too much before using it to frost the cake. Remember you still want the caramel to be slightly warm and runny when it comes to frosting the cake. If it’s too thick, simply heat up the caramel slightly, or you can also mix in a little more cream to thin it out.
Why is my caramel very gummy and chewy once set?
If the caramel is very hard to eat, it means the caramel was overheated when the frosting was being made. Be sure to only cook the caramel until it thickens in consistency (see video for visual demonstration), and take it off the heat once the cream is mixed in.

Moist Caramel Cake
IMPORTANT: For accuracy, I would recommend using the gram measurements provided, as those are the exact quantities I use. Cup measurements are given as estimates (based on US cup measurements) to make it easier for those who do not have a scale.
Ingredients
Caramel Cake
- 2 cups (250 g) flour - plain, all purpose
- ¼ cup (30 g) cornstarch
- 2½ tsps baking powder
- ½ tsp salt - omit if using salted butter
- ¾ cup (170 g) unsalted butter - room temperature
- ¼ cup (55 g) unflavoured vegetable oil - I use canola oil
- 1 cup (200 g) white granulated sugar
- ½ cup (100 g) soft light brown sugar
- 3 large eggs - room temperature
- 1 tbsp vanilla extract/essence
- ½ cup (120 g) sour cream - room temperature
- ½ cup (120 g) milk - full fat, room temperature
Caramel Frosting
- ¾ cup (170 g) unsalted butter - room temp
- 1½ cups (300 g) white granulated sugar
- 2 cups (510 g) evaporated milk - 1 and 1/2 12 ounce (340g) cans
- ¼ tsp salt - omit if using salted butter
- ⅓ cup (80 g) cream - room temp, any cream (whipping, heavy cream, etc.) will work
- 1½ tsps vanilla extract/essence
Instructions
Caramel Cake
- Preheat oven to 160 °C (320°F) with the fan on (see note 1 if you don't have a fan function) and grease or line two 8 inch cake tins (I use my homemade cake release).
- Sift together flour, cornstarch, baking powder and salt. Using a whisk or fork, mix until well combined. Set aside for now.
- In a large bowl combine butter, vegetable oil, white sugar and brown sugar. Using an electric mixer (hand or stand mixer are both fine - see note 2), cream together for 2 minutes until light and creamy.
- Add in eggs one by one, mixing well in between each addition (about 10-15 seconds between eggs).
- Next add in sour cream and vanilla and mix until well combined. Now set your mixer aside as the remainder of the batter will be finished by hand.
- Finish off by adding in half of your premixed dry ingredients to your wet mixture, and gently fold it in with a spatula until just combined. Then add in the milk, and fold it in until just combined. Lastly, add in the remaining dry ingredients and gently fold it into the mixture until just combined. Do not overmix (see note 3).
- Distribute the batter evenly into the two 8 inch cake tins, and bake for 28- 30 minutes or until a toothpick comes out clean.
- Once baked, allow the cake layers to cool in the cake tins for about 15-20 minutes, and then turn them out onto a wire rack to completely cool before frosting with the caramel.
Caramel Frosting
- Place a large saucepan over a medium heat and add in butter, sugar, evaporated milk and salt. Allow everything to melt together and come to a simmer, stirring continuously. Once simmering, turn the heat down to a low-medium heat.
- Allow the caramel to thicken up slowly for about an hour, stirring every few minutes to make sure the caramel isn't burning. Be sure to check on it more frequently once it starts to thicken up as this is when it is more prone to burning. Once it is thick (see video for visual), and a deep golden brown colour, add in the cream and vanilla. Stir until the caramle is smooth, and then immediately pour it into a heat proof dish.
- Allow the caramel to cool for about 25 minutes before frosting the cake. You still want the caramel to be slightly warm and runny when frosting the cake, as it sets up quickly once you come to using it (see note 4 if caramel is too thick).
Assembly
- Once cakes are cooled, level the tops with a serrated knife so that the cake layers are flat.
- Place the first cake layer onto your cake stand/serving platter and place a generous amount of the caramel frosting on top and smooth it out with an offset spatula or knife.
- Place your next cake layer on top and cover the top and sides with more caramel frosting (see note 5 if caramel is too thin and not setting up). Once the caramel starts to set up, you will notice it become shiny. You can run an offset spatula or knife gently on top of the shiny caramel and this will make everything super smooth! Decorate as you wish and enjoy!
Video
Notes
Nutrition
Nutritional information are estimates only as they are automatically calculated by a third party application. Actual values may differ based on brands and types of products used.
113 Comments
hi can you please share with me the measurements for a 28 or 40 inch tin please
Hi Bev! 🙂 So 1x this recipe would be enough for a quarter sheet (9×13 inch) pan (that is atleast 2 inches high for a thick cake layer), so 28 inches is closer to a full sheet pan so you would need to make 4x the recipe 🙂
Hey, what can I do if I want to make 3 6″ cake layers? Should I use one and a half recipe for the sponges?
Hi Maira! 🙂 So 1x this recipe will make four 6 inch cake layers (original recipe makes two 8 inch cake layers). For three 6 inch cake layers, you would want to make 0.75x the recipe. This may be a bit difficult calculations wise, so you could also make 1x the recipe and use the extra batter to make a few extra cupcakes on the side 🙂
Hope that helps and hope you enjoy the recipe!
This recipe looks great! I’m going to make it for my husband’s birthday in 2 6” tins – shall I put the cake batter in two tins then slice each into two slices to get 4 layers in total? How long should I bake them for as the batter will be more in 6” tins than 8” ones. Thank you!
Hi CJ! 🙂
So usually I don’t recommend putting too much batter into one cake tin and baking up the cakes as taller cakes as they’re quite soft and I’m not sure if they would rise as well as tall cakes. I would instead recommend making half the recipe for two 6 inch cake layers, or you could distribute 1x the recipe between four 6 inch cake layers. If you decide to go that route, then the baking time will likely be a little less than the stated cook time 🙂
Hope that helps and hope you and your husband enjoy the recipe 😀
Hi, the cake and caramel tastes delicious, however the carmel is grainy. is there any way i can fix this?
Hi Brooke! 🙂 So glad everything tastes amazing, but sorry to hear the caramel is grainy! Usually this can be fixed by heating up the caramel again over a gentle heat and stirring in a bit more liquid (in this case a little more evaporated milk or whipped cream). Hope that helps for next time 🙂
Is it ok to freeze the cakes?
Hi Sonya! 🙂 I haven’t tried freezing these cakes myself but I think it should be fine! I would recommend wrapping them well in clingwrap and placing them into an airtight container prior to freezing. Hope you enjoy the recipe! 🙂
Ingredients mentions 1/2 cup of
Milk but no where in your instructions does it mention it? Or did I miss it? When should it be added to the cake mix?
Hi Yuyu! It is in step 6 for the caramel cake – after half of the dry ingredients are folded in 🙂
Hope that helps and hope you enjoy the recipe!
Hi, how long can I store the caramel frosting
Hi Ivana! 🙂 Ideally you want to use the caramel frosting within 25-30 minutes of making it, otherwise it will become too hard to spread over the cake. Alternatively, you can store it in the fridge to use later, but you will need to reheat it to soften it up a bit and make it more spreadable 🙂
Hope that helps!
Can I use cake flour instead of all-purpose flour?
Hi Derek! 🙂 I haven’t tried that myself, though it should be fine! You would substitute both the all purpose flour and cornstarch in this recipe with cake flour 🙂
Hope you enjoy the recipe!
This cake is so good! For some reason both my cakes didn’t rise in the middle though so I lost quite a bit flattening the cakes. This will definitely be added to my cake recipes though just need to figure out what went wrong with the middle.
Hi Kristina! So glad to hear you loved the recipe 😀
Sorry to hear the centre didn’t seem to rise though. Check out this blog post for some troubleshooting tips for next time 🙂 https://cakesbymk.com/recipe/why-did-my-cake-sink-in-the-middle/
My top tips would to be use the gram measurements (if you didn’t already), don’t check the cake too early and double check your baking powder is still active 🙂
Hope that helps for next time!
Can you use cake flour instead of all purpose flour?
Hi Sheila! 🙂 I haven’t tried that myself, but I don’t think it would be a problem if you substitute both the all purpose flour and cornstarch with an equal amount of cake flour 🙂
Hope you enjoy the recipe!
Could this caramel sauce be frozen and thawed when wanting to use?
Hi Julia! 🙂 I haven’t tried freezing the caramel myself so I’m really not too sure sorry! I feel like it would be okay but I just can’t say for sure as sometimes things that have dairy can split when they thaw. Sorry I couldn’t be of more help Julia!