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How would you heat the room if no towel rail? Low level rads? (Bear in mind the towel rail is existing).
Yeah moving the soil pipe is a pain! There's no real way to do so other than run it under the floor, hence the step to the shower. Presumably as high as needed @aggi
Maybe lose the towel rail.
A corner loo might give more space.
Or just go for the toilet / shower combo.
Moving the soil is a pain though.
Combining the utility / bathroom could work and add more absolute and functional space.