I hope my ramblings and wonky (but to scale) floorplan make sense to someone other than me 
We currently have an open plan lounge diner, then a separate kitchen and utility room. We want to make a kitchen diner instead, DP thinks we should just take the wall between the kitchen and utility out and leave the lounge diner as a massive lounge as demonstrated by the green squiggle. I think we should put the wall back up between the lounge diner and take out the wall between the diner and kitchen and then have the utility room as a snug/playroom as demonstrated by the red squiggles. My way would be more work and more expensive obviously
The little box bit by the diner is the excess of the understairs cupboard - the ceiling is full height there.
Which layout would you do?