
Try him on a course of Homeopathic 'calming' remedies such a Skullcap and Valerian tablets from Dorwest herbs or if you can - go on a Tellington Touch course - they will show you techniques to de-stress your dog and you can of course use them in any situation.Then just focus on one thing that you particularly want him to accept - gradually expose him to one of his 'fears' just sitting quietly and not pushing things too much at first - be very much guided by your dogs reaction before you up the stakes.
Unforunately some of the herding breeds can be ultra sensitive and wary of most things - personally I thnk it is because they are so bright that they try to 'think situations through' and often come to a 'scary' answer rather than just accepting things as other breeds do.
good luck with him -at 7 many of his fears wil be entrenched and changing his attitude will be a long process :rolleyes:
p.s try putting chilli paste/vicks vapour rub or bitter apple spray on his bald patch ( as long as the skin is not broken !) hopefully it will deter him from licking it when anxious !