Pre-heat the oven to 160C (320F) fan-forced and line two baking trays with baking paper.

Place the butter, sugar, egg yolk and vanilla in the bowl of an electric mixer and beat it all together until it is light and creamy.

Add the cream cheese and beat it through until the mixture is smooth.

Take the bowl off the stand and sift in the flour, baking powder and bicarbonate of soda.

Gently stir the mixture until the dough comes together.

Using a tablespoon of dough at a time, roll the dough into balls and place it on the baking trays leaving 3cm between each one.

Very gently press the top of each ball down to make an indent ready for filling.

Spoon ¼ of a teaspoon of jam on top of each ball of dough.

Bake the biscuits for 10-12 minutes or until they begin to turn golden.

Leave the biscuits on the trays to rest for 5 minutes and then transfer them to a wire rack to cool completely.

Jam drops are best eaten on the day of baking but will keep for up to 2 days stored in an airtight container.