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Finely dice the red onions and chilli pepper. Grate the garlic.
Heat up the olive oil in a large pan and cook the onions and chilli pepper for fifteen minutes on medium heat. Stir frequently so it doesn't stick or go brown.
Add the garlic, salt, sugar and pepper. Cook for another five minutes.
Add the balsamic vinegar and bring to the boil on a high heat. Stir well and consistently until the vinegar has evaporated.
Turn off the stove and let the chutney sit and cool for another five minutes.