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Agreed. I think the best advice would be to use the same plans and apply for Certificate of Lawfulness instead.

I've just found this document which relates to the 'small dwelling' that the council mentioned to the OP. http://www.newforestnpa.gov.uk/__data/assets/pdf_file/0003/96096/extensionstodwellings.pdf Skim reading it says to me that he wasn't able to extend the bungalow as the total habitable...

Unless I'm missing something I read the 3rd post "I know that permitted development rights do apply in my area, just not sure what the limits are, can i build out 3 mters or 4 meters?" to mean that he HAS Permitted development rights in tact!

As your bungalow is detached you can go out 4 metres from the rear wall. Check out the planning portal for a visual guide of what you can do under permitted development. http://www.planningportal.gov.uk/permission/commonprojects/extensions/miniguide

Have you got an existing pitched roof extension by any chance as they use the additional roof volume added there as part of your 50m3 / 40m3 total limit?