I would replace it... It looks dated. It's hard to tell how much space you have from the picture, but consider a free standing tub if you have room. I would place it across from the shower door opening, so your bathroom is less congested. I would also enclose the shower and water closet in glass.

The tub needs to go.

If changing the tub is not in your budget, one idea is to match the cabinetry with paneling and put that on the front of the tub.

We are facing the same issue with a 23-yr.-old jetted tub. If we remodel around it and the tub gives up, there goes the tile and everything else when it is replaced.

Thanks all for your suggestion. So it looks like I need to go tub shopping