My research when fitting my own boiler a while back suggests that there is no problem with a boiler sited in a toilet. It is not portable equipment. ISTR that you need to keep it at least 60cm from a sink(???). The situation changes when there is a shower or bath, there are various 'zones' away from the shower/bath which you need to avoid, and I believe the isolation switch ( DP, fused to 3A ), AND ANY OTHER GUBBINS, SUCH AS TIMER, NEEDS TO GO OUTSIDE THE BATHROOM. i THINK THE WORDING IS THAT THE 'POINT OF CONNECTION' TO THE MAINS NEEDS TO GO OUTSIDE THE BATHROOM. nORMALLY THEY WANT THE ISOLATION SWITCH RIGHT NEXT TO THE BOILER BUT NOT IN THAT CASE. Ooops didn't cancel the caps lock. I think it's in BS.7671 if you can find them.
Andy