Caramel Slice
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My homemade caramel slice recipe features a buttery shortbread crust, a gooey caramel center, and a rich milk chocolate topping. It’s decadent yet deceptively easy to make.

If I had to pick a highlight of living in Australia, it would be our desserts, and none quite encapsulates Australia like our caramel slices (although many would argue it’s the lamingtons).
They’re made with layers of flaky shortbread, gooey caramel, and a thick sheet of melted milk chocolate. The shortbread base needs a quick bake, but everything comes together without an oven.
Anyone who has ever tried making these before knows the hardest part is balancing the caramel so that it’s both gooey and holds its shape when sliced. I tested a few temperatures and found that low to medium-low heat produced the thick, glossy caramel you’re looking for. If it starts boiling too hard or you use high heat, you’ll be left with a grainy texture that’ll separate once sliced. I’ll walk you through the whole process with my video and step-by-step photos.
Table of Contents
Why I love this recipe
- It’s made with simple ingredients. The only ‘niche’ ingredient is golden syrup, but you can use corn syrup instead. The rest of the ingredients are pantry staples.
- Easy to customize. Make these bars dairy-free or gluten-free, or swap the chocolate to change the flavor entirely. I’ve tested a few options for you.
- A gorgeous texture. The unique balance of textures from each layer seriously takes these bars over the top. No one will be able to resist– just ask my partner, who can eat three in one sitting.

Key Ingredients
Here’s what goes into my caramel slice recipe, along with kitchen notes. Full measurements are in the recipe card below.
Shortbread base:
- Butter. I used unsalted butter since I’m already adding salt to the crust. Make sure it’s softened to room temperature.
- Sugar. I prefer white sugar, but brown sugar also works, though the base will be darker.
- Flour. I use sifted all-purpose flour, but I tested it out with Bob’s Red Mill gluten-free flour successfully. If you use another GF flour, make sure it contains xanthan gum; otherwise, it will crumble.
- Salt. To balance out the sweetness of the dough.
Caramel filling:
- Condensed milk. To provide a thick base for the filling. I tested low-fat and full-fat and strongly preferred the texture of full-fat condensed milk.
- Butter. Unsalted butter here, too- salted butter can make the caramel taste sharp rather than balanced.
- Sugar. Use white or brown sugar.
- Light corn syrup OR golden syrup. Adds sweetness and also prevents the caramel from burning. I tested both because golden syrup is usually only available in the UK and Australia, and both worked equally well.
- Vanilla extract. A must for caramel- it cuts through the richness.
Chocolate topping:
- Chocolate. Use a good-quality chopped-up milk chocolate bar for melting. I love Ghirardelli bars. White or dark chocolate also works really well- although the white chocolate makes them super sweet.
- Coconut oil. A small amount of coconut oil added to melting chocolate gives it a glossy finish. It also helps prevent the chocolate from cracking. Butter also works.
How to make caramel slice
Step 1- Prep. Preheat oven to 180C/350F and grease an 8×8-inch square pan with cooking spray.
Step 2- Mix the shortbread dough. In a large bowl, beat together the butter and sugar until fluffy. Sift in the flour and salt and mix to combine.
Step 3- Bake. Transfer the dough mixture to the pan and press until smooth. Prick with a fork. Bake for 15 minutes or until just golden. Remove from the oven and let it cool completely.

Step 4- Make the caramel. Place all the caramel ingredients into a small saucepan over low heat. Stir until boiling. Once boiling, continue to stir vigorously so it doesn’t burn. Once it reaches 225F, remove it from the heat and stir for another 2-3 minutes.

Step 5- Add the caramel layer. Pour over the shortbread base and allow it to cool completely.

Step 6- Add the chocolate layer. Once the caramel has cooled, melt the chocolate and coconut oil in the microwave. Pour on top and spread evenly. Let it cool to room temperature before slicing.

Arman’s recipe tips
- Don’t skip the corn syrup. I know corn syrup has a bad rap, but it’s essential in this recipe. It prevents sugar from crystallizing, resulting in a smooth, creamy caramel.
- Chill the dough. Before pressing it into the pan, refrigerate the dough for 15-30 minutes to make it easier to roll out.
- Use a candy thermometer. Visually, you can tell the caramel is done when it pulls away from the pan and leaves tracks when stirred. However, a candy thermometer takes all the guesswork out. They retail for $4-$7 on Amazon and take the guesswork out of timing.
- Slice with a warm, very sharp knife. Getting clean cuts can be tricky, but the best trick I’ve found is to run a knife under hot water, then slice, wipe the knife clean, and repeat. It takes a bit longer, but your patience will be rewarded.
- Make it dairy-free. Use coconut condensed milk, dairy-free butter, and vegan chocolate chips for the topping.
Storage instructions
To store: Place leftover bars in an airtight container and keep at room temperature for one week or refrigerate for up to 2 weeks.
To freeze: Wrap leftover slices in plastic wrap, store in a freezer-safe container, and freeze for up to 3 months.
Make-ahead tip: If serving this at a party (like reader Sol did), make these the day before and skip the fridge entirely. Cold caramel firms up significantly and needs about an hour at room temperature to soften back to that gooey texture.

Frequently asked questions
If the caramel is runny, it is likely because low-fat condensed milk was used or the caramel wasn’t cooked for long enough. When you remove it from the heat, the caramel should be pourable but thick. It takes around 10 minutes for the caramel to set.
Millionaire shortbread is a classic UK dessert with a firmer caramel layer, whereas caramel slice is an Australian dessert known for its very soft, gooey caramel layer.

Caramel Slice
Video
Ingredients
Shortbread
- 1/2 cup butter unsalted
- 1/4 cup sugar
- 1 1/3 cups all purpose flour sifted
- 1/4 teaspoon salt
Caramel
- 2/3 cup condensed milk
- 1/2 cup butter
- 2/3 cup sugar
- 2 tablespoons golden syrup or light corn syrup
- 1 teaspoon vanilla extract
Chocolate
- 7 ounces milk chocolate chopped
- 1 teaspoon coconut oil
Instructions
- Preheat the oven to 180C/350F. Grease an 8 x 8-inch square pan with oil and set aside.
- Beat together the butter and sugar until fluffy. Sift in the flour and salt and mix until combined.
- Transfer the mixture to the lined pan and press down until smooth. Prink with a fork. Bake for 15 minutes, or until just golden. Remove from the oven and let it cool completely.
- Place the condensed milk, butter, sugar, golden syrup, and vanilla extract into a small saucepan and place it over low heat. Stir very well until it begins to boil. Once boiling, continue to stir vigorously, ensuring the caramel doesn’t scorch. Once it reaches 225F on a candy thermometer, remove it from the heat while continuing to stir for another 2-3 minutes.
- Pour over the shortbread base and allow it cool completely.
- Once the caramel has cooled, add the chopped chocolate and coconut oil into a microwave-safe bowl and microwave in 20-second spurts until melted.
- Pour over the top and spread evenly. Let it cool to room temperature. Once cool, slice and serve.
Notes
Nutrition
More easy dessert bars
- Zucchini bars– These are healthy enough to eat for breakfast.
- Raspberry bars– I developed these bars to use the same ingredients in the crust and crumb topping.
- Oatmeal chocolate chip bars– 5 wholesome ingredients and ready in 15 minutes.
- Raisin bars– My partner reckons these taste like soft-baked raisin cookies.
- Peanut butter blondies– Flourless, 5 ingredients, and full of rich peanut flavor.
Originally published November 2022














On photo they really look amazing. I need to try this for sure.
I see that, in the URL, the recipe is named “healthy no-bake caramel slice” and I was going to complain that after trying it, I found that it’s not no-bake, and with the amounts of butter and sugar in the slice, it’s certainly not healthy. Buuut I see that the title on the page does not have these, so, I guess it’s accurate now 😉
I made these and they’re definitely yuuuummy! It’s hard to eat only one. So, thank you for such a cool recipe!
Note: I found that when they come straight out of the fridge, the caramel is rather hard. So, if I were to bring these to a party or so, I would make them the day before and not refrigerate them at all. Otherwise, I’d give them maybe an hour to warm up outside of the fridge before consumption.
Well, I just figured out Why you included the recipe for the caramel. Thanks for adding that in for is Americans. Not too happy about having to use corn syrup, though. It’s so bad for you.
Sandra
Hi Arman. I love short bread, but gluten doesn’t agree with me. Do you have a gluten free flour substitute?❤️
Yes! Swap out the flour for a gluten free blend that uses xanthan gum (like bob’s red mill)
I assume 1/4 *cup* of water for the caramel sauce?
That is correct, thanks Zena!
your coconut-caramel is awesome! thank you!!!
🙂 Thanks so much, Britta!
I am not Jewish but I LOVE LOVE the Rakusen’s Matzo Crackers. Nothing added just the cracker sheets. I can eat at least 3 sheets at one go. (wheat addiction) However I couldn’t make your recipe here in HK as the Matzos we get are made from Wheatflour and water.
oh no!! I hope you’ll find a suitable option, Tina- You could try gluten free graham crackers or saltines 🙂