Preheat oven to 325 degrees. In a large bowl cream together butter and sugar until mixed well.
Beat in eggs, milk and preserves until well incorporated.
Mix in flour, cinnamon, nutmeg, and vanilla well.
Pour into a well greased square baking dish. Bake for 30-40 minutes or until edges are brown and middle of cake is set.
For the sauce: Combine all of the sauce ingredients in a saucepan over medium heat. Stir until the sugar and butter are dissolved. Continue to cook until sauce is bubbly and has thickened.
When you pull the cake out of the oven, cut it into chunks with a spoon then pour sauce over the entire cake.
Let it set for about 5 minutes before serving warm and possible with a scoop of vanilla ice cream. Mmmm...enjoy!