Preheat oven to at 190°C/370°F. Grease and flour a baking sheet.
Cream together butter and sugar. Add the egg, milk and vanilla.
Sift together the flour, baking powder and salt and slowly add to the mix. Knead until the dough comes together.
Roll out onto a floured surface and cut into shapes with cookie cutters. Bake for 10-12 minutes. Let cool and transfer to a cooling rack.