Add the milk to a small saucepan and place over medium low heat. Add the dried chamomile flowers and saffron. Bring to a simmer and then remove from the heat, cover, and let steep for 15 to 20 minutes. Strain the milk into a measuring cup, pressing gently to extract as much milk as possible from the chamomile. Add a bit more milk if it has reduced to make 1 cup in total.
Heat the water to between 105°F and 115°F. Add the sugar and yeast. Stir briefly and then set aside for the yeast to activate. When the yeast is bubbly and risen, after about 5 minutes, proceed with the recipe.
In the bowl of a stand mixer fitted with a dough hook, combine the warm chamomile milk, melted butter, honey, and salt, stirring to dissolve. Stir in the yeast and add the flour.
Mix, using the dough hook, until the dough starts to come together. Scrape down the sides occasionally to encourage the dough to come together. If the dough is too sticky and sticks to the side without forming a ball, then add more flour, a tablespoon at a time.
Continue mixing with a dough hook on low speed for about 5 minutes until the dough is soft and stretchy. After mixing, take the dough out and lightly knead a couple of times on the counter to bring it together into a smooth ball.
Transfer the dough to a greased bowl. Rub a little oil on top of the dough. Cover with cling film or a tea towel and then set in a warm place to rise for 1 to 1 1/2 hours until double in size.
Line a baking sheet with parchment paper and set aside. Punch the dough down to deflate. Transfer the dough to a lightly floured counter and divide into 12 equal pieces.
Roll each piece into a rope. You may find it easier to do this in stages. Begin by rolling each piece into a thick rope then set aside and work on the other pieces. Go back to the first piece and roll it out longer until the rope is about 10 inches long.
To shape each bun, tie a loose knot in each rope keeping a gap in the centre. Tuck the one end on top over and under the roll. Pull the other end from the bottom up and over the roll and tuck it into the middle of the knot. Place each twist bun on the prepared baking sheet.
Once all the twists are formed, cover the baking sheet with a tea towel and let rise in a warm place for 30 minutes or until doubled in size.
Preheat the oven to 350°F. Prepare an egg wash by beating together 1 egg and a splash of water. Use a pastry brush to brush the egg wash over each twist bun. The egg wash will give a shiny, golden crust.
Bake the twist buns for 22 to 25 minutes until golden brown and cooked all the way through. Rotate the pan in the oven after 15 minutes to encourage even browning.