Caramel Slice Recipe
Introduction
This classic Caramel Slice combines a buttery biscuit base, a rich homemade caramel layer, and a smooth chocolate topping. It’s an irresistible treat perfect for sharing or enjoying with a cup of tea.

Ingredients
- 1 cup plain/all-purpose flour
- 1/2 cup brown sugar, loosely packed
- 1/2 cup desiccated coconut (US: sweetened finely shredded coconut)
- 125g / 4.5oz unsalted butter, melted
- 125g / 4.5oz unsalted butter, roughly chopped
- 1/2 cup (80g) brown sugar, loosely packed
- 1 tsp vanilla extract or essence
- 395g / 14oz sweetened condensed milk (1 can, 300ml)
- 200g / 7oz dark or milk melting chocolate (US: semi-sweet chocolate chips)
- 1 tbsp vegetable oil
Instructions
- Step 1: Preheat your oven to 180°C/350°F (fan 160°C). Grease and line a 28 x 18cm (7″ x 11″) lamington or rectangle pan with parchment paper, leaving some overhang for easy removal.
- Step 2: In a bowl, mix together the flour, brown sugar, desiccated coconut, and melted butter until combined. Press this mixture firmly into the prepared pan and bake for 15 minutes until golden. Cool in the fridge if time allows.
- Step 3: Lower the oven temperature to 160°C/320°F (fan 140°C). In a saucepan over medium-low heat, combine the chopped butter, brown sugar, and vanilla extract. Once the butter has melted, whisk to mix, then let it come to a simmer.
- Step 4: When bubbles appear, add the sweetened condensed milk. Whisk constantly for about 5 minutes until large, slow bubbles form on the base. Continue whisking for 1 more minute, then pour the caramel over the baked base. Tilt the pan to spread it evenly.
- Step 5: Bake the caramel layer for 12 minutes. Some uneven brown spots are normal due to oven heat distribution. Allow the slice to cool on the counter for 20 minutes, then refrigerate for 30 minutes. The bottom should be warm, but the surface cool to the touch.
- Step 6: In a microwave-safe bowl, combine the chocolate and vegetable oil. Microwave in 30-second bursts, stirring between intervals until fully melted.
- Step 7: Pour the melted chocolate over the caramel layer, spreading evenly with a spatula. Gently shake the pan to level the chocolate surface.
- Step 8: Refrigerate the slice for at least 1 hour or until the chocolate is set. Before serving, remove from the fridge and let sit for 5 minutes to soften slightly. Cut into bars or squares and enjoy!
Tips & Variations
- For a nuttier flavor, add chopped nuts like walnuts or pecans to the base mixture.
- Use semi-sweet or dark chocolate depending on your sweetness preference.
- To make cutting easier, warm your knife under hot water and dry before slicing the caramel slice.
- Store the caramel slice in the fridge to keep the layers firm, especially in warm climates.
Storage
Store the caramel slice in an airtight container in the refrigerator for up to 5 days. If you prefer a softer chocolate top, allow slices to come to room temperature for 10-15 minutes before serving. You can also freeze individual pieces wrapped well for up to a month; thaw in the fridge overnight before enjoying.
How to Serve

Serve this delicious recipe with your favorite sides.
FAQs
Can I use salted butter for this recipe?
While unsalted butter is recommended for better control over salt levels, you can use salted butter if needed. Simply skip adding any extra salt, and taste the caramel to adjust as desired.
Why does my caramel sometimes separate or become grainy?
Constant whisking while the caramel simmers helps maintain a smooth texture. Make sure to cook over medium-low heat and avoid overheating. Using fresh sweetened condensed milk also ensures a better consistency.
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Caramel Slice Recipe
- Total Time: 1 hour 50 minutes
- Yield: 16 bars 1x
Description
This classic Caramel Slice recipe features a buttery coconut and flour base topped with a rich, homemade caramel layer and finished with a smooth chocolate coating. Perfectly balanced between sweet and slightly salty, this no-fuss treat is baked in stages and chilled to set, creating a deliciously indulgent dessert that’s easy to slice and serve.
Ingredients
Base
- 1 cup plain/all purpose flour
- 1/2 cup brown sugar, loosely packed
- 1/2 cup desiccated coconut (sweetened finely shredded coconut)
- 125g (4.5oz) unsalted butter, melted
Caramel
- 125g (4.5oz) unsalted butter, roughly chopped
- 1/2 cup (80g) brown sugar, loosely packed
- 1 tsp vanilla extract or essence
- 395g (14oz) sweetened condensed milk (1 can, 300ml)
Chocolate Topping
- 200g (7oz) dark or milk melting chocolate (semi-sweet chocolate chips)
- 1 tbsp vegetable oil
Instructions
- Prepare the Base: Preheat your oven to 180°C (350°F) or 160°C (320°F) fan-forced. Grease and line a 28x18cm rectangular pan with parchment paper, leaving an overhang for easy removal. Combine the flour, brown sugar, desiccated coconut, and melted butter in a bowl, then press the mixture evenly into the base of the prepared pan. Bake for 15 minutes until golden on the surface. Once baked, let the base cool in the fridge if time allows.
- Make the Caramel Layer: Lower the oven temperature to 160°C (320°F) or 140°C (fan). In a saucepan over medium-low heat, combine the roughly chopped butter, brown sugar, and vanilla extract. Stir until the butter melts and the mixture is smooth. Allow it to come to a simmer, then add the sweetened condensed milk. Whisk continuously for 5 minutes until the mixture thickens and slow bubbles start appearing at the bottom. Whisk for one more minute, then pour the caramel over the base, gently tilting the pan to spread it evenly. Bake the caramel-topped base for 12 minutes. Expect some uneven brown spots due to oven heat distribution. Let the slice cool on the countertop for about 20 minutes before refrigerating for 30 minutes until the bottom is warm but the surface cool to the touch.
- Chocolate Topping: Combine the chocolate and vegetable oil in a microwave-safe bowl. Heat in 30-second bursts, stirring between each, until fully melted and smooth, usually about 4 intervals. Pour the melted chocolate over the set caramel layer and spread evenly with a spatula. Gently shake the pan to level the chocolate surface.
- Set and Serve: Refrigerate the caramel slice for about 1 hour or until the chocolate topping is fully set. Remove from the refrigerator and let sit at room temperature for 5 minutes to soften the chocolate slightly. Cut into bars or squares and serve.
Notes
- Sweetened desiccated coconut works best for the base for added moisture and sweetness.
- Using parchment paper with an overhang makes it easier to lift the slice out of the pan for cutting.
- Chilling the base after baking helps it firm up and makes spreading the caramel easier.
- Constant whisking of the caramel prevents it from burning and ensures a smooth texture.
- Allowing the slice to cool properly before adding the chocolate topping helps each layer set properly for clean slicing.
- Prep Time: 20 minutes
- Cook Time: 30 minutes
- Category: Dessert
- Method: Baking
- Cuisine: Australian
Keywords: Caramel Slice, Chocolate Caramel Slice, Australian Dessert, Easy Slice Recipe, Homemade Caramel, Chocolate Topping

