I would love to be there to help you in person! I have an design background, which has helped me to help friends with re-arranging their homes for sale - and I love doing this. I would say, take the sofa with its back in empty space away from there for a start. This always feels counter-intuitive when you sit on it (as avoiding a table in the centre of a restaurant does). You have two great sofas, I would move the one facing the TV much further down towards where the tall plant and table are at present. Then put the other one in front of the window, pull it slightly away from the radiator so you still get heat and don't burn the back of the sofa! If that first sofa is close to the room devide, it looks as if it would fit in under the window between the wall and the door OK. You can then slightly push the TV and stand towards the right, probably at an angle so both sofas can see it. It might even fit under the overhanging wall a bit, where it could look more naturally as if it should go. You can then put the plant to the left of the TV, that is to the right of the door frame. I would not normally put a tall plant and a small table together, thats too much going on in one small area, so put the small table as a coffee table on the rug, much more functional as well as better on the eye. I might exchange the plant for the standard lamp if you don't have much soft lighting in the room, as its very important to give that comfy feel and you don't want glaring overhead light to watch TV with. A few more orangey tones would add a bit of warmth too, could be more geometrics, scandi looking like that rug, could be some nice plump cushions, they are not expensive nowadays to replace, maybe a striking print or poster or two and a nice orange flowered plant or some flowers on the windowsill. I'm not a fan of photos on windowsills, they can look very messy as well as fading fast. Likewise, I agree with previous comment, lose the tiebacks, these always look very dated and a bit down at heel. Better to put all the photos together in a strong grouping on the cupboard you have around the corner under the stairs, or on some other shelving. Hope this helps!

I'm not sure of your dimensions but have you considered the largest sofa facing the wallpapered wall so it is the back of the sofa you see when entering the room? A slimline sofa table behind could provide a place for candles, books a place for keys etc (not sure how much of a hallway you have). See some pics below to show what i mean. The other sofa could either go under the window or the opposite wall. By placing the tv on a cabinet you wouldn't have to spoil your lovely paper and the damage to the white current tv wall could be covered by shelving/picture or other artwork. As I said it might be too tight for space but it could be a solution to what can sometimes feel like a waiting room space when only option is to place seating around the walls. Good luck!

Can you please draw out this room plan and add measurements, I can create a layout for you from this, thanks. (and Good luck with the little one!)

I'm not sure what is important to you but would you consider having a big kitchen diner? If so, I would knock through from the kitchen into the reception room to give you more kitchen space and a lovely social area, and then for your living room space, I would use the upstairs reception room. Somewhere you can retreat to! If you're worried that your bedrooms will be too close to the main room and if you don't feel that you would have many people over to enjoy your outside terrace then you could make the upstairs reception room your master bedroom, and the top left bedroom your living room as it is on the same level as the kitchen/diner. Then ultimately the bottom left bedroom could be made into a stunning guest bedroom and make use of the fireplace alcove by using it as a boarder for a large piece of artwork opposite the bed (If that's what you'd like) If you'd like any more planning or design advice, don't hesitate to let me know! Im not sure where you're based but I am an interior designer in and around reading, and I also provide online designs if you aren't local :)