Preheat oven to 350°F (175°C). Line a baking sheet with parchment paper.

Arrange mini pretzels evenly on the prepared baking sheet.

In a small saucepan, melt caramels with water over low heat, stirring until smooth.

Drizzle melted caramel evenly over the pretzels.

Sprinkle chocolate chips over the caramel and bake for 5 minutes until the chocolate softens.

Remove from oven and gently spread the melted chocolate using a spatula.

Sprinkle flaky sea salt over the top.

Let cool completely at room temperature or in the refrigerator.

Once set, cut or break into pieces and serve.