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Preheat the oven to 180C/350F/gas Mark 4. Cream the butter and sugar together until light and fluffy. Then blend in the eggs, vanilla, flour and cranberries, adding a little milk if necessary to give a fairly soft consistency.
Spoon the mixture into lightly greased individual pudding basins. Cover each loosely with a piece of greased greaseproof paper. Place on a baking tray and bake for 25-30 minutes until well risen and just firm.
For the sauce place the cranberries in a saucepan with the water and sugar and heat gently until the cranberries pop and burst and the sauce reduces a little. Stir in the butter and continue for a few minutes until the sauce thickens and becomes slightly syrupy.
To serve turn out the puddings and pour on a little of the cranberry toffee sauce. Serve with thick cream or ice cream and the rest of the sauce.