Prepare all the ingredients.

Cut the bread into 1cm x 1cm cubes.

Toast the bread cubes in a dry pan over medium heat for about 10 minutes.

Shake off any bread crumbs using a sieve.

In a pan, melt sugar and water over high heat without stirring.

Reduce to medium heat and add butter, stirring until melted.

Add milk to the caramel mixture and stir continuously.

Cook until the mixture turns a caramel color, then reduce to low heat.

Add the toasted bread cubes to the caramel sauce and stir quickly for 30 seconds.

Spread the caramel-coated bread cubes on a tray lined with foil or paper.