Combine (A) in a mixing bowl and with the use of an electric mixer and dough hook and blend at a low speed for about 1 minute.
Add milk and water and mix on low speed for 1 minute again. Add the softened butter and continue to mix for 10-15 minutes on medium speed. Stir in walnuts and raisins and mix on low speed for another minute until everything is well mixed.
Once the dough comes together, turn out onto a lightly floured surface and knead well until smooth. Transfer dough into a lightly greased mixing bowl. Cover with clingfilm and leave to rise for about 1- ½ hours until double in bulk. Punch down the dough and leave to rise for a second time for about 40-45 minutes. Turn out dough onto a lightly floured surface and knead for a few minutes to expel any large air bubbles.
Divide dough into 2 equal portions, form into loaves and put into lightly greased loaf tins. Leave aside for 40-60 minutes or until well-risen and spongy to the touch.
Bake in a preheated oven at 200°C for 25-30 minutes until the top of the loaves turn golden brown or the tins sound hollow when tapped on the underside. Immediately brush the loaves with a little milk.