You have some lovely pieces in this room. Have you got enough seating for your every day living? If so I would use the wall with the small console table to incorporate more concealed storage. A longer sideboard or wall hung units which you can still display on top of. You'd still have room then for your cute kids table and chairs etc. For me the one bit of colour over the fireplace is incongruous and I would consider doing the alcoves in the same colour if you still like it. By moving the tv to the other side of the fireplace (perhaps with your console table underneath), you are bringing it to the seating area and it won't stand out so much, especially with a darker background. The radiator is awkwardly placed but a radiator cabinet and some floating shelves above would balance out the tv in the other corner. If you like the mirror I would turn it round to portrait style and perhaps consider spray painting it (copper? to match the Base of your floor lamp?) I notice you don't have any curtains and if you aren't overlooked and don't kind then the lack of them does keep the room feeling bigger but for privacy wooden venetian blinds or, if you can push the boat out, plantation shutters would be fab. Good luck with it.

If you don't need a dining space, how about making that extra space a reading room? Install shelving or a bookcase, place a wingback armchair in the far left corner with a floor lamp to illuminate the chair where you'll be reading. A smaller feature lamp on a small side table would add colour and interest, while the table gives space for a notebook and pen. You could also have an antique Canterbury next to the armchair for stowing magazines and newspapers in. I'll find some photos to inspire you.

I think shortening the lounge is a great idea. Could the new kitchen door go through the cupboard in the hall next to the shower room? This would make the new wall nicely balanced with the window in the new dining room. If you want help with visualisations, I offer 10 hours of design work for £250 which gives you a full design and the confidence to proceed with any supplier of your choice. If you want to have a no obligation chat to bounce some ideas around, feel free to get in touch 😊 Emily x

A darker cool color (blue, green, black) on the 'head walls' will make the room more 'compact'. Or by painting the dining area a different wall color the room will be cut up in two. Keep the arch the same color as the ceiling though. And yes, some new seating will do wonders! Either a 3/4p sofa and some smaller armchairs or a corner sofa, like below. Look for a slightly longer media cabinet. Just one, so remove the table. Instead of a coffee table, place a side table next to the sofa's and/or some small stools that can double up as seating when needed. Then you might want to consider removing the volant curtains and hang more subtle honeycomb blinds and/or floor to ceiling semi transparent drapes. And remove the rug, it is too small (so is the sheepskin in the image below) and accentuates the narrow. A rug should be (nearly) as wide as the seats on it.