Heat a little olive oil in a medium saucepan and sweat the garlic and bay leaf over low heat for 3-4 minutes.
Add the sugar, paprika, salt, wine and cinnamon stick and stir together. Increase the heat and cook for 3-4 minutes until the liquid is reduced.
Tip in the tomatoes and bring the sauce to a simmer. Partially cover the pot and cook for 25-30 minutes, stirring occasionally, until sauce has thickened. Taste the sauce and adjust the seasoning. Set aside.
Roughly chop the shallots and chorizo and place in a food processor or mini chopper. Pulse until everything is finely ground.
Fry the chorizo for a few minutes over medium heat - the chorizo will release some oil so you don’t have to add extra.
Put the chicken stock, butter and salt into a large pan and bring to the boil.
Add the flour and garlic granules and mix vigorously until the dough comes together into a ball.
Transfer the dough to the bowl of your stand mixer fitted with the paddle attachment.
Beat on lowest speed setting until the dough cools down slightly – about a minute.
Gradually add the eggs and chopped chorizo and keep mixing on medium-low speed until the dough is glossy and hangs off the beater in a long strip. The batter might initially separate as the eggs are added but it will come back together as you mix it.
Transfer the batter to a large piping bag fitted with a large open star tip.
Spray a large piece of greaseproof paper with cooking spray (or grease with a little butter) and pipe 10-15 long strips or shapes of your choice, spaced slightly apart. Cut the paper so each churro is sitting on a small piece of paper.
Put the oil in a large deep pot and heat to 180C (350F), check the temperature with a digital or jam thermometer. Keep an eye on the temperature while frying as it is important to keep it consistent. Alternatively use a fryer.
Carefully lower the churros (on their paper) into the hot oil using tongs and discard the paper. You can fry 2-4 churros at a time but don't crowd them too much or the temperature might drop and they won't cook well.
Fry until golden and crisp, about 4-6 minutes. Drain on a plate lined with kitchen paper.
Serve immediately with a bowl of the tomato dipping sauce on the side. Best matched with a Rioja Gran Reserva.