"Sounds like the heater isn't designed to be splashed with water in any way. IP regulations deal with ingress protection for any equipment, not just electrical: "
"--- try emailing the BSS office, they're quite helpful. Then you can show their reply to the BSS examiner before they start."
Thanks once again to all for your comments. I have emailed the BSS office and had a very informative reply. The gist of it is from PD 5482-3, (which is the installation standard which the installer will be working to) and to which 'Boilerman' refers. Here is the relevant bit:
"For example, it is essential that any conventionally flued appliance and/or its combustion air supply does not communicate with any room/cabin containing a bath or shower".
I think that is enough for me and I will not have it put in the bathroom.
Thanks also for the link re IP standards. I had only ever come across this before many years ago when doing an IEE Electrical Installers course and assumed it only referred to electrical safety.
Cheers