In a large bowl, combine warm milk, yeast, and a tablespoon of sugar. Let it sit for 5-10 minutes until frothy.
In another bowl, mix flour, the remaining sugar, and salt together. Set aside.
Add eggs and vanilla to the milk and yeast mixture. Mix well.
Gradually add the dry ingredients to the wet mixture, mixing until a dough starts to form.
Knead in the butter until the dough is smooth and elastic, about 10 minutes.
Fold in the dried fruits and lemon zest until evenly distributed.
Place the dough in a greased bowl, cover with a damp cloth and let rise in a warm place until doubled in size, about 2 hours.
Preheat oven to 180°C (350°F).
Punch down the dough, shape it into a ball, and place it in a paper panettone mold or a greased, round baking tin.
Bake for 45 minutes or until golden brown and a skewer inserted into the center comes out clean.
Cool completely on a wire rack before slicing and serving.