In a large bowl, combine flour, sugar, baking powder, cinnamon, salt, baking soda, and nutmeg. Set aside.
In a small bowl, whisk together milk, melted butter, egg, and vanilla extract until smooth. .
Pour wet ingredient mixture into the bowl of flour mix, along with the shredded apple. Lightly stir, just until combined – do not over beat it!
Lightly oil your griddle or frying pan, preheat over medium-low heat. Scoop ¼ cup(50 ml) amounts of batter onto the griddle.
Gently spread batter out into a larger circle, about 4 – 4.5″ in diameter.
Cook until bubbles start popping through the top of the pancakes. Flip, cook until done.
Repeat with remaining batter.
Divide pancakes among serving plates. Top with caramel apple sauce, serve immediately.