As you will be sheetrocking the walls..I hope you mean all the way up. I would use a wood grain tile in a mid-dark color..nothing with yellow tone. I have attached a link..these tiles are 6" x 24" http://www.builddirect.com/Porcelain-Tile/-Chestnut/ProductDisplay_6933_P1_10082128.aspx?srccode=cii_17588969&cpncode=26-298823255-2

First of all have the insert painted (or diy; heat resistant spray paint), I'd say dark grey, charcoal.
Light brown wood ceramic floor tile, or dark warm brown, depending on the rest of your interior and amount of daylight.
Grey wall paints taken from the fireplace; a medium dark grey next to the fireplace and a pale greige (grout) all around.
Below some wood tile examples:

No tile is slip-free, btw. You could consider Marmoleum (natural product).

I'm going with Hickory for all the wood work and two bay windows, yes the fire place insert is going. It will be all sheet rocked the paneling just hasn't been all tore off yet

If you use woodgrain tile, there is a "driftwood" type color that might look nice.