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Put flour in a mixing bowl along with the softened butter. Use your fingers to work the butter into the flour until no large pieces remain.
Next, add the beaten egg, salt and yeast.
Holding the bowl with one hand, stir in enough warm milk to form a dough. At this point, the dough should be raggedy and rough.
Turn onto a lightly floured board, wash your hands of dough, and with wet hands knead a few times to be sure the dough is well-mixed, then place in a clean, lightly buttered bowl and let the dough rise, covered, in a warm place.
After it has doubled in bulk (about 1-½ hours), turn onto a lightly floured board. Gently press out the gas and form dough into a rectangle to fit into a buttered bread tin. Cover, set in as warm a place as you have, and let rise until nearly doubled.
In the meantime, preheat the oven to 350 degrees Fahrenheit.
When the dough is ready, brush the top of the loaf with a beaten egg thinned with a little water (this step is optional).
Bake until crust is golden, about 1 hour.
Remove from the oven, turn out of the tin, and let cool on its side for at least 3 hours before cutting.