I'd paint all the ceilings with a flat ceiling white.

Thanks for the photo's it really show's what should be painted with what, just by looking at the first photo looking towards the stairs, the painted bulk head would really bring the ceiling down and then again the second with the bulk head above the external door, wall colour is the right choice for me. cheers

Wow , what an amazing transformation ! Who would have thought that closing all the heavy curtains in the before pictures , and turning off the flash , and having the power disconnected , would have made such a difference ! I might even do a full transformation tomorrow morning by opening the curtains and turning on the lights . . . . . . . . .

I would not paint that wall. Instead I would install a rectangle huge colourful painting. This will bring interest and texture to the whole room. If you are thinking of going grey, then would it be a feature? Would anyone notice? Your home is quite subdued in the colouring....maybe some colour may pop on that wall instead of more subtle tones.