What sort of siding are you planning to get? And in what sort of profile? You'll find that choices in anything not beige/grey/white is a bit limited. So, most manufacturers will have 1-2 yellows, 1-2 reds, and maybe 2-3 actual blues. And not every color will be available in every style of siding. Are you looking for a light blue, or a dark blue? Do you intend to repaint the foundation and remove the shutter?

Don’t take the cedars down unless they are (or will be) interfering with the foundation or plumbing. Just limb them up to clear the windows.
Your house will be great in a dusty blue or grayed green.
Add a bit more landscaping to bring a little more color outside. Charming!

We’re going with vinyl siding and I like the clapboard style.

We we will be cleaning up and painting the foundation areas and remove the shutters.

I don’t want the colour to be too light. So dusty blue or a bit darker.

Thanks so so much for your responses!!!

here is some visualization

I don’t know what brands of siding you have to choose from, but several manufacturers of vinyl siding now make lovely dark blues. We are getting our house resided this summer and we just picked Alside Charter Oak siding in the “Riviera Dusk” color. It’s a very dark navy that almost looks dark gray in some lights.

Is your roof a warm or cool tone?

Cool tone dark grey

Good...that gives you more options with blue tones.