It would cost a lot and take a lot of work to make this layout ideal for what most people would want, which is 2 separate bedrooms, both with independent access to the bathroom. In order to do this, you have to sacrifice some space from Bedroom 1.

An option is to reverse the stairs and put up a wall to create a corridor towards your bathroom. A door would be put in halfway along that wall to access bedroom 1.

Depending on the design, you may have to remove/shorten the small room under the stairs so that you can put the stairs the other way

If the bathroom and landing walls are load-bearing (which is quite possible in a Victorian terrace like this), the cost can rise quite a bit because structural work and building control approval may be needed.

If you’re a first time buyer and you aren’t comfortable with the layout of the property, you’d have to weigh up whether it’s actually worth paying out all of that extra cost instead of waiting for another property to pop up in the area that you’d like to live in

You could also divide bedroom 2 and give it a small Ensuite and leave bedroom 1 unchanged

Regarding this, my budget is the following: So far I've saved, 40k, the house itself costs 210k, i have 25k for my deposit, leaving 15k for solictor fees and house changes. Would I have enough to do this and have money left over?

Depends if that's the only house change you want to do. £15k can disappear quite quickly once you factor in structural work, decorating, flooring and any unforeseen issues. Jonathan's suggestion is another good option worth considering. It would avoid having to alter the staircase and landing, although you'd still need to factor in the plumbing, drainage, ventilation and the loss of some space in Bedroom 2.

If this is the main project and the rest of the house is in good condition, it could be achievable, but I'd definitely compare quotes for different ways of solving this problem before committing to one solution if you want to fit it within your £15k budget.

I'd also try to keep contingency in your budget for anything unexpected that comes up during the work

Thanks for these insights, as I'm looking for somewhere to buy to live in, I think the amount of work that would need to be done is making me reconsider how highly I place this property vs 2 other properties I've found that don't have any restructuring to do for the bathroom.

No worries enjoy your day!