Preheat the oven to 190°C/ 350°F
Add 1 tbsp of the olive oil to a large frying pan and set over medium heat. Fry the bacon for 5 minutes, until golden brown. Use a slotted spoon to transfer to the casserole pan.
Lower the heat and add a little more oil to the frying pan. Add the shallots, gently fry for 5 minutes. Cook for another 5 minutes then transfer to the casserole pan.
Add another tablespoon of oil to the frying pan and fry the rabbit pieces in batches until browned on both sides. Add to the casserole pan.
Deglaze the frying pan with 1/2 cup balsamic vinegar, scraping any bits away from the base of the frying pan. Put it in the casserole pan.
Pour the cider into the casserole pan, along with the bay leaf. Place the casserole over medium heat and bring to a simmer.
Cover the pan and place in the oven. Cook for 30 to 40 minutes, or until the meat is tender. Check the seasoning and serve.
