The green is a cupboard sorry!

The green (blue) cupboard may cause you problems. The bench will need a support. It will need to go between the washing machine and that cupboard which will need room which will make that cupboard quite narrow. It will also be quite tight to manoeuvre the washing for any reason. Could you have a roll out trolley next to the machine and add an overhead cupboard or shelf? Prob save some dollars also. To answer your question - it’s a small area so one wall tile for the area.

Thank you for your suggestion and I'm sorry I should have clarified regarding the cupboard, the wall is going to be knocked out to make one large bathroom/laundry combo. The room is therefore quite a bit bigger.. does this make a difference in your tile recommendation?

If you want to extend the tiles to the ceiling that is fine. But what practical point is that achieving? Looking at cost and possible removing and replacement of cornices if the tiles are thicker than cornice.

Is there a separate toilet in the house, or will the combined bathroom/laundry include a toilet? If there is a toilet in the bathroom, then you are making a multi functional two room space into a one function space. Eg can’t put the washing in, while someone is showering or using the toilet. Or can’t use the toilet if someone is putting the washing on. Taking into account left over odours! Bathroom/laundry combinations are a good use of space, but there can be a negative impact if this is the only bathroom.