Caramel Squares

Servings: 24 squares
Prep Time: 25 minutes
Cook Time: 20 minutes
Cooling Time: 2 hours
Total Time: ~2 hours 45 minutes
Difficulty Level: Medium
Cuisine: Canadian (Newfoundland Regional Dessert)
Course: Dessert, Snack

Introduction

Newfoundland Caramel Squares are a beloved traditional treat from the easternmost province of Canada. Rich, decadent, and sweet, these bars are often found at bake sales, holiday platters, and family gatherings across the island. With their three irresistible layers — a buttery shortbread base, a thick, creamy caramel middle, and a smooth chocolate topping — they’re often compared to Millionaire’s Shortbread. But Newfoundland’s version usually includes sweetened condensed milk-based caramel and sometimes even a sprinkle of sea salt for contrast.

These squares take a bit of time and care to prepare, but the payoff is huge. If you’re looking to impress guests, bring a hit to a potluck, or simply indulge in something nostalgic and luxurious, this recipe is for you.

Let’s dive into how you can make perfect Newfoundland Caramel Squares from scratch.

Ingredients

For the Shortbread Base:

• 1 cup (227 g) unsalted butter, softened

• ½ cup (100 g) granulated sugar

• 2 cups (240 g) all-purpose flour

• ¼ tsp salt (omit if using salted butter)

For the Caramel Layer:

• 1 can (14 oz / 396 g) sweetened condensed milk

• ½ cup (113 g) unsalted butter

• ½ cup (100 g) brown sugar, packed

• 2 tbsp golden corn syrup (or substitute with maple syrup for a local twist)

• ½ tsp sea salt (optional)

• 1 tsp vanilla extract

For the Chocolate Topping:

• 1½ cups (260 g) semi-sweet or dark chocolate chips

• 2 tbsp butter or cream (optional, for a silkier texture)

Step-by-Step Instructions

1. Prepare the Shortbread Base

Preheat oven to 350°F (175°C). Line a 9×13-inch baking dish with parchment paper, leaving some overhang for easy removal.

In a large mixing bowl, cream together butter and sugar until light and fluffy (about 3–5 minutes). Add flour and salt gradually, mixing until a crumbly dough forms.

Press the dough evenly into the bottom of the prepared pan. Prick the surface lightly with a fork to prevent bubbles.

Bake for 18–20 minutes or until lightly golden brown. Remove from oven and let cool while you prepare the caramel.

2. Make the Caramel Filling

In a medium saucepan over medium heat, combine the sweetened condensed milk, butter, brown sugar, and corn syrup.

Stir continuously with a wooden spoon or silicone spatula to prevent scorching. The mixture should melt evenly and begin to thicken. This takes about 10–15 minutes.

When the caramel turns a golden amber color and begins to pull away slightly from the sides of the pan, remove it from heat. Stir in the vanilla extract and sea salt (if using).

Pour the hot caramel over the baked shortbread base. Use a spatula to spread evenly.

Let the caramel layer cool at room temperature for at least 30–45 minutes before adding the chocolate layer. Do not refrigerate immediately or the caramel may harden unevenly.

3. Prepare the Chocolate Topping

Melt the chocolate chips and butter (or cream) in a heatproof bowl over a saucepan of simmering water (double boiler method) or microwave in 30-second bursts, stirring between each until smooth.

Once melted and glossy, pour the chocolate over the caramel layer. Tilt the pan to ensure even coverage or use an offset spatula.

Let the entire dessert set at room temperature for another 30–60 minutes. For faster setting, place it in the fridge for 1–2 hours, but bring it back to room temperature before slicing for the cleanest cuts.

4. Slice and Serve

Using a sharp knife, carefully slice into squares (typically 24 pieces).

Pro Tip: Run the knife under hot water and wipe it between cuts for neat slices.

These bars can be served at room temperature or slightly chilled. Store them in an airtight container for up to 5 days, or freeze for up to 2 months.

Tips for Success

• Use parchment paper: This makes it much easier to lift the bars out and cut them cleanly.

• Don’t overheat the caramel: Stir continuously and watch closely. Burnt caramel can ruin the flavor and texture.

• Customize it: Add a sprinkle of flaky sea salt on top of the chocolate for a modern twist, or swap semi-sweet chocolate for milk chocolate if you prefer it sweeter.

• Add texture: Crushed roasted nuts or toasted coconut can be sprinkled between layers for crunch and flavor.

Nutritional Information (Per Square, approx.)

Note: Nutritional values are estimates and can vary depending on specific ingredients used.

Serving Suggestions

• Pair with Newfoundland tea buns or a strong cup of tea.

• Perfect for dessert trays during Christmas, Thanksgiving, or community events.

• Wrap individual squares in wax paper or cellophane for homemade gift treats.

Why This Recipe Stands Out

While similar to the more widely known Millionaire’s Shortbread, this Newfoundland version is rooted in traditional Atlantic Canadian baking, often passed down through generations. It uses accessible pantry staples but achieves a gourmet result.

The balance of textures — crumbly base, rich chewy caramel, and silky chocolate — makes this recipe a standout at any dessert table. It’s rich, yes, but cut into smaller portions, it’s the perfect indulgent bite.

Whether you’re from Newfoundland and craving a taste of home or just exploring Canadian desserts, this recipe brings both comfort and decadence to your kitchen.

Conclusion

Newfoundland Caramel Squares are more than just a treat — they’re a slice of heritage, a comfort dessert, and a showstopper all rolled into one. With a little patience and attention, you can create a batch that rivals any bakery or family heirloom version.