a term made in St.Helens, England.
Basically it is an insult to one who has a "cakey shitter" from eating too much cake.
If you are told to "Smell that cake!" you should feel ashamed as it is the ultimate burn.
Sean: Kyle Smell that cake!
Kyle: Shut up!
Rest of the class: Whey!
When somebody does something so idiotic, in the greatest of ways, what was done was so stupid, there is no comparison in known history, to say someone else did something more idiotic.
Doctor: "I've seen a lot of guys hurt themselves in stupid ways in my day, but yours takes the retard cake!"