Preheat the oven to 350°F (180°C). Grease and line the bottom of two 8-inch (20 cm) cake pans; set aside. Using an electric mixer, beat butter with 1 1/2 cups (375 mL) sugar for 4 minutes or until very light and fluffy. Add the egg yolks and beat for 3 minutes or until pale. Beat in the vanilla.

In a separate bowl, sift the flour with the baking powder, baking soda and salt. Beat on low, add half of the flour mixture, alternating with half of the milk, beating until each addition is incorporated; repeat with remaining ingredients.

In a separate bowl, beat the egg whites until foamy. While constantly beating, gradually add the remaining sugar; beat until stiff peaks form. Stir a third of the egg whites into the cake batter. Gently fold in the remaining egg whites. Divide the batter evenly between the two pans.

Bake, rotating the pans halfway, for 30 minutes or until a tester comes out clean when a tester is inserted into the centre of the cakes. Cool in pans on a wire rack for 10 minutes. Invert onto the cooling rack and remove parchment paper. Invert back on to their bottom; cool completely.

Beat butter with cream cheese until smooth. Beat in the icing sugar, 1 cup (250 mL) at a time, until well combined. Add the cream and beat for 4 minutes or until very fluffy.

Trim the top off the cakes, using a long serrated knife, to make the top flat and even. Cut each cake in half to make 4 layers. Spread 1/2 cup (125 mL) jam over the surface of three layers. On a plate or cake stand, stack the cakes on top of each other with the jam-less cake on top.

Spread the frosting all over the top and sides of the cake in an even layer. Use a spoon or small rubber spatula to make decorative swirls in the frosting. Chill for 1 hour before serving.