The village lies in the Great Wold Valley and the course of the winterbourne stream the Gypsey Race passes through it.

Until 1974 the village lay in the historic county boundaries of the East Riding of Yorkshire.

[1] The settlement is listed in the Domesday Book as being in the hundred of Burton, later being designated as the wapentake of Dickering.

[2][3] At the time of the Domesday survey, the area belonged to Count Mortain, and it 12 carucates of land.

[8] St Nicholas' Church, Butterwick is a grade II* listed building, which was renovated in 1882, although parts date back to the 12th century.