Combine milk, water & butter in saucepan, heat on low until butter melts and then bring to boil.

Add flour to the pan and beat vigourously, set aside to cool

Add egg and chocolate and beat until well combined.

Heat oil in a large saucepan until sizzling. spoon dough into piping bag.

Pipe dough in 3cm strips into the oil in batches. Deep fry 2-3 mins, turning until golden. Drain on paper towel.

Combine caster sugar and cinnamon in bowl. Toss hot churros in mixture