Preheat oven to 350 degrees and grease a 9x5 loaf pan.
In a small bowl, combine the brown sugar and cinnamon. Set aside.
In a separate bowl, cream together the butter and sugar using an electric mixer.
Once creamy, add in the eggs and vanilla extract.
Combine the flour and baking powder together in a small bowl and add into the creamed butter mixture.
Add in the milk. Stir to combine. Set aside.
In a small bowl, combine the chopped apples with the 2 tbsp sugar and 1 tsp ground cinnamon.
Pour half the batter into the prepared loaf pan.
Add half the apple mixture on top.
Sprinkle half the cinnamon/sugar mixture you set aside earlier on top of the apples.
Add remaining batter, followed by remaining apples, and rest of sugar/cinnamon mixture.
Bake in preheated oven for about 55-60 minutes, or until cooked through.
Once done, remove from oven and allow to cool for about 20 minutes before slicing.
Combine the powdered sugar and milk together in a small bowl and drizzle over bread.
Slice and serve! Enjoy!