Preheat the oven to 350°F and grease an 8 inch baking dish.

Beat the softened cream cheese and sour cream with a hand mixer on medium speed for about 1 minute, until smooth.

Fold in 3/4 cup of the cheddar, the Parmesan, diced jalapenos, half the bacon, garlic powder and cayenne, until evenly distributed.

Spread the mixture into the prepared dish and smooth the top, then scatter the remaining 1/4 cup cheddar over the surface.

Stir the panko and melted butter together until the crumbs look damp and clumped, then scatter this evenly over the cheese.

Scatter the remaining bacon and reserved jalapeno slices over the top.

Bake for 18 to 20 minutes, until the topping is golden brown and the dip bubbles visibly at the edges.

Let the dip rest for 5 minutes before serving; it is very hot directly out of the oven.

Serve warm, straight from the baking dish, with pretzel crackers or butter crackers alongside for scooping.