To be honest building control arent out to stop you doing things to your home. They are more about making sure things are done safely and in a good way for future occupants.
It may seem daunting but if you ring your local council and ask to speak to building control, explain what you would like to do. They should give you some good advice and what you need to do. They wont tell you step by step buy they should tell you the basics. They may also tell you you need planing permission!
Basically to convert a garage into a habitable room you need to insulate all external walls. Most garages are a single brick wall, not a double wall with a cavity. You will also need foundations for a front wall and window, then build wall up to damp course level. Create a damp proof floor for your garage and a little way up the walls. Then about 70mm of celotex (insulation) on the floor, the screed floor. Then build wall up and insulate then fit window. Now build stud walls inside on any outside walls and insulate. Insulate the ceiling and plasterboard, skim and you are done, well plus the electrics etc.
The above is a VERY basic over view of what is required and I have probably missed loads.
The easy way without building regs or planning, although you may be in trouble if the council ever inspected but if the garage door is still there who will know???
You could just created a small say 2 brick high wall about a foot back from the garage door, use a liquid damp proof paint (Wicks, a couple of coats) then put down 75mm or more celotex insulation (its hard like expand a foam) comes in big sheets (8x4ft) over the floor. Then put down a chip board floor. You then need a stud wall at the front behind the garage wall, ideally with a vapour barrier between garage door and the insulation then plaster board. The plaster board joints could just be taped and filled.
This would give you a cinema room, it will be cold in winter and if you dont build additional vapour barrier + insulation + stud walls against the single skin external walls.
Thats a post and a half, maybe I should get on and do some DIY myself