Dairy-Free Homemade Butterscotch Baking Chips

For baking or simply snacking, these homemade butterscotch baking chips solve the problem faced by those of us who are dairy-free in addition to being gluten free.
Make a batch (or two!) of these to use in all your favorite recipes calling for butterscotch morsels.

5.0 from 1 reviews
Dairy-Free Homemade Butterscotch Baking Chips
Recipe type: Dessert
  • 1 cup brown sugar, firmly packed
  • ¼ cup dairy-free butter substitute (like Earth Balance buttery spread; I use the soy-free variety.)
  • 2 Tablespoons dairy-free milk (Any plant-based milk will work; I use coconut milk.)
  • ½ teaspoon pure vanilla extract
  1. Before you begin, line a cookie sheet with parchment paper or wax paper.
  2. Combine all ingredients except vanilla.
  3. Cook over medium heat until mixture comes to a boil.
  4. Boil 2 minutes without stirring.
  5. Remove from heat, add vanilla and stir.
  6. Pour mixture onto prepared parchment-lined pan.
  7. Allow mixture to cool to room temperature until it hardens.
  8. Cut into chunks.
  9. Store in glass jar, tightly sealed.


  • These chips make the perfect addition to my Gluten Free Magic 7-Layer Bars!

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9 thoughts on “Dairy-Free Homemade Butterscotch Baking Chips

  1. sr

    I just used a different internet recipe (I didn’t mind using organic butter, so I used the coconut oil / butter / brown sugar recipe) and I had problems with both graininess and separation. I make toffee fairly regularly and so I am used to higher-temp sugar recipes, but I am struggling with the whole brown-sugar-stays-grainy thing. Commenters contradict themselves… you have to stir less. (No, more!) You have to boil longer (no, less!) Hotter! Too hot! … I am hesitant to waste more brown sugar and butter and coconut oil (7 bucks a jar! Yeep!) until I am confident about what to vary. Even using your recipe, I feel as if the not-dissolving thing could happen. Ideas?? Also I just read another recipe (which used shortening) where commenters complained the homemade chips melt so entirely that there’s no “chip” left in the cookie. Any ideas appreciated.

    • Gluten Free Gigi Post author

      The brown sugar issue may be getting the mixture too hot too fast. Slow is the key with melting granulated/brown sugar.

      I’m not sure about “commenters’, I’m guessing you mean from other sites or where you got a recipe you tried?

      I do not recommend coconut oil for this recipe. If you have another recipe where it is used/called for, go for it, but I do not suggest using it here due to its properties. You will surely not have any “chip” or “chunk” if you do.

      Note: my recipe does not call for coconut oil.

      I do not use/recommend shortening.

      My suggestion: either use a recipe and follow it specifically/precisely, or query the author/recipe creator of the site to which you keep referring.

  2. betty hatfield

    I made these the other day. After I broke the butterscotch into pieces, I dipped them into melted chocolate, and sprinkled a little sea salt on top. They were sooo good.

    • Gluten Free Gigi Post author

      Hi, Farrah.

      Never dried (I can’t use dairy); however, I’d say it is likely going to work.

      A little kitchen experiment might be in order! ;)

      Let me know if you try it and how it turns out, others would probably like to know.


  3. Pingback: Gluten Free Allergen-Free Holiday Pantry Staples | Start Gluten Free

    • glutenfreegigi

      Sounds like you’ve got yourself a great experiment in the making, Jane! Best luck and let us know how it turns out if you give it a try! xo


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