1. Preheat oven to 425°F. Whisk egg with 2 tsp water. Set aside.
2. Line a baking sheet with parchment. Set aside. Run the tines of a fork widthwise over pastry.
3. Cut pastry widthwise into 1-inch strips.
4. Cut strips in half lengthwise.
5. Transfer pastry to prepared baking sheet. Lightly brush with egg wash.
6. Bake in centre of oven until golden, about 10 minutes.
7. Heat a medium pot over medium-high heat. Add sugar and then chilis. Let sugar caramelize, about 5 minutes. Do not stir unless very dark spots appear. When sugar is a deep golden brown, remove from heat.
8. Whisk in butter, being careful to avoid splatter. Continue to whisk until fully emulsified, about 2 minutes. Return to heat and carefully whisk in cream. Let boil 1 minutes.
9. Combine sugar with cinnamon in a large bowl. Add warm churros and toss until evenly coated.
10. Serve with warm caramel sauce.
Source and Credits
Courtesy of Food Network Canada