One more photo

Perhaps a pale gray for the walls, a small standalone vanity to replace the sink and provide storage, with a matching above the toilet cabinet.

For the rugs and such, a maroon to match the tiles would work, and maybe a retro/funky shower curtain?

i would paint bathroom white and get curtains, rug and towels with the tile colors. I love the tile. Perhaps striped towels.

I'd get rid of the ceiling fan and replace it with a recessed fan/light combo. I think it would make it feel bigger.

Just remembered I had an image of the trim and paper sample.

Bright white for all the soft goods (shower curtain, rugs)

Walls could be off white or very light grey (repose maybe?)

Love the sink, shame someone replaced the handles. They bought ‘universal’ handles, you may be able to locate appropriate handles for that sink that fit properly

I would also be concerned that a free standing vanity won’t be tall enough to cover the damage to the wall from the sink mounting bracket.

Check out retro renovation for more inspiration.

Alison, love your wallpaper! That is a pale yellow tile.

Halley, I too love that sink and I’ll see if I can find more appropriate handles

Oyyerkill, Will definitely get rid of the ceiling fan. There are ceiling fans in every room in this house except the living room which also does not have lights in the ceiling

Just remembered that someone posted re: faucet handles on my thread - here's the link to rebuild kits for these shelfback sinks - may be helpful to you: https://deabath.com/product-category/faucet-parts/re-build-kits/

Thanks on the wallpaper - it is a bit over the top, but in a way, that is the point ;)

I would replace that cabinet over your toilet, maybe something ceiling height, and the medicine cabinet too - looks like it's one of those teeny vintage jobs!

We went (or will go) with this cabinet:

https://www.build.com/kohler-k-3073-medicine-cabinet/s561069?uid=166624&source=gg-gba-pla_166624!c1337126304!a50339712621!dc!ng&gclid=Cj0KCQiAsdHhBRCwARIsAAhRhskpvIhxDzAiW63B3NWPwU__3KtPvKWTB9BVqkAIhuYl3A1Zvsi1vW8aAlMSEALw_wcB&gclsrc=aw.ds

Gigantic, but like yours, there is little to no storage space in ours.

And these lights. Available here, but slightly cheaper on amazon!

https://www.amazon.com/gp/product/B07BS79ZZ4/ref=ppx_yo_dt_b_detailpage_o01_s02?ie=UTF8&psc=1

I would keep the room simple since your tiles are so dominant. Remove the wallpaper and patch the plaster/drywall and paint. A soft white. Keep towels, etc white for a crisp, simple look. Add a nice white shower curtain with some texture.

... white fabric Roman shades or natural bamboo/woven blinds...

https://www.etsy.com/listing/246729237/burgundy-red-orange-gold-leaves-leaf?ref=studio_redirect

https://www.spoonflower.com/fabric/2957188-art-nouveau-lilies-orange-burgundy-gray-by-vinpauld

https://www.farmingtonfabrics.com/product/C11211.html

https://www.fabric.com/buy/0382927/autumn-elegance-master-floral-burgundy

https://williammorrisandmichele.blogspot.com/2012/05/dear-william-new-fabric-release.html

http://www.vintagelights.com/product/1/vintage-2-bulb-white-porcelain-bathroom-antique-lighting-fixture.html

https://www.bespokelights.co.uk/shop-by-era-c1/art-deco-lighting-c13/lincoln-american-lighting-zelda-art-deco-nickel-wall-light-p2495

https://www.bespokelights.co.uk/shop-by-type-c4/bathroom-lights-c6/broadway-american-collection-taylor-ip44-chrome-led-bathroom-wall-light-with-opal-glass-shade-p12095

https://www.kovifabrics.com/search/product_detail/637

Thanks everyone, love all the ideas. Sorting through them now and will create a Pinterest board to help visualize.. keep the ideas coming, going to start the smaller items now and will report back. I’d been afraid that white paint would be too much like the pale yellow but will try it.

I'd remove the wallpaper (looks to have had it's day) and the border wallpaper in the blue color, remove the valance and those blinds. I'd find a simple roman blind w/appropriate coloring, and find a new light fixture.

I'd paint the walls a soft, creamy white too. you could do a window shade like this one and find a vintage light for over the mirror

check out here for vintage bathroom ideas

https://retrorenovation.com/2012/09/20/1938-time-capsule-tudor-17-photos-original-owners-lived-here-at-least-72-years/