Beef Bourguignon

1 kg diced steak
Plain flour with salt and pepper
3 rashers bacon, chopped
1 T oil
12 pickling onions
1 C red wine
2 C beef stock
1 t dried thyme
200g button mushrooms, whole
2 bay leaves
Lightly toss steak cubes in seasoned flour, shake off excess. Heat oil in large saucepan, cook bacon medium heat, remove. Add meat to pan and brown in batches, remove. Add onions to pan and cook until golden. Return bacon and meat to pan with remaining ingredients, bring to boil, reduce heat and simmer covered 1 ½ hours, until meat very tender, stirring occasionally. Remove bay leaves to serve.