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Heat the milk in a large saucepan over medium high heat until the top becomes foamy, just as looks like it's about to boil.
Turn stove off. Add lemon juice and stir for 1 minute. The milk should begin to curdle. If it doesn’t, turn the stove back on and bring back to a gentle boil until the solids separate.
Line strainer or colander: Place over a deep bowl. Line strainer with 2 layers of cheesecloth.
Ladle in half of the curdled milk to begin with, then pour the rest in. Leave until all the liquid drains – this might take 5 to 10 minutes.
Discard liquid (whey) in the bowl. Bundle the paneer up in the cheesecloth then rinse bundle briefly under cold tap water.
Squeeze out excess water by twisting the cheesecloth and squeezing the bundle, but not so hard that paneer squeezes out through the cloth.
Shape cheese into a disc around 2cm / ¾" thick, still wrapped in cheesecloth. Place in a strainer or colander set over a bowl. Top with a small plate then 2 x 400g/14oz cans (or similar weight).
Refrigerate for 4 hours. During this time the paneer will set and remaining liquid will drain out.
Remove paneer from fridge and carefully unwrap. There will be a dent in the middle, this is normal.
You can either cut it immediately and use in a recipe, or store the whole uncut block for another time.