In a large bowl, mix together 3 cups of flour, sugar, salt and yeast.
Combine the milk, water and butter in a saucepan over a low heat and stir until butter is melted and the liquid is hot to the the touch.
Gradually add it to the dry ingredients and beat for two minutes at medium speed with an electric mixer or vigorously with a wooden spoon.
Add cheese, egg and enough extra flour to make a stiff batter, beating again for another minute.
Cover and let rise until doubled in bulk - about one hour.
Stir the batter down and beat vigorously again for one minute.
Pour into well-greased loaf tin or casserole dish.
Bake 40-50 minutes at 180C (375F).
Remove from container and cool on wire rack.