If this porch were mine, this is what I'd do:

If the ceiling height will allow it, I'd remove that single wall light and replace it with at least two lights in the ceiling instead. You could put recessed lights in, but personally I loathe them. I'd much rather have a shiny glass pendant on a short cable. Then put coat hooks up where the wall light is now.

If the wallpaper/stud wall issue makes removing the paper impossible, just stick the peeling edges back down and paint it all.

Paint the bricks too in a light colour.

Jazz up that box into a seat type feature, perhaps with more hooks or a mirror above, as suggested earlier. I'd steer clear of anything like cushions or soft furnishings for the box, unless you know the porch is always dry. Nothing sadder than a musty pile of pillows.

Replace the vinyl on the floor. Quarry tiles, maybe?

If budget weren't an issue, I'd also consider taking one of the windows all the way down to the floor, possibly then closing off the other one and using the space for more coat/shoe/dog lead storage. Or perhaps just put some small plant pots on the windowsills.

If budget really, really isn't an issue at all, I'd enlarge the space and make it more visually and aesthetically usable.

For you, perhaps the best thing to consider first is how you want to use the space? Do you need storage for any large items like buggies or wheelchairs? Have you got lots of family who all need a place to hang a coat and keep a couple of pairs of shoes? Would it be a convenient place to demud the kids/pets after an outing? Or is this purely a feature to keep empty, but to stop wintry draughts getting into your home?