YES! Is often my answer.
Wallpaper offers perhaps the single most dramatic statement you can make in a small space, and many patterns are perfect for the bathroom. Large or small-scale geometrics and florals or novelty patterns are all fair game and work wonderfully in small spaces. It may be just the budget-conscious alternative to tile that you’ve been searching for. Below is my own personal powder room in a rental house I own.
Everyone that spends a few moments in this little space feels as if they’ve gone to a tropical far-away destination. Dinner conversations often included the capital of countries and adventure travel -:) Can you see why?