In a remote village on the Jutland peninsula in Denmark, two devout sisters, Martine and Filippa, live a pious and secluded life, dedicated to their late father's strict Lutheran sect. The sisters, who had once sacrificed their romantic aspirations in obedience to their father’s religious convictions, now spend their days caring for the congregation and performing acts of charity. Their quiet existence is disrupted when Babette, a French refugee fleeing the civil unrest in Paris, arrives at their doorstep. Babette begs for asylum and offers to work as their housekeeper without pay. The sisters, though hesitant, take her in and discover over time that her presence brings a subtle warmth and rejuvenation to their home.

Years later, Babette learns she has won a large sum of money in a lottery. Instead of leaving the village to pursue a life of her own, she proposes to prepare a lavish French meal in honor of the 100th birthday of the sisters' late father. The villagers, initially apprehensive about indulging in what they consider sinful extravagance, reluctantly agree to partake in the feast out of respect for the sisters. Little do they know, this exquisite meal prepared by Babette will transcend culinary delight and lead them to a profound spiritual awakening, breaking through their austere barriers and uplifting their souls.