Use a small pot to bring milk and loose tea leaves to a gentle simmer. Remove from heat and allow to steep for 12-15 minutes.
Strain to remove loose tea leaves.
Re-measure your milk after it has cooled and top up to 1 and ½ cups as some may have cooked off.
It's okay if there are some small particles left - I think they add to the cake! Bring to room temperature before using in cake recipe.