Based on what I saw in another thread, I believe that
- You will get a pro-rated refund for the part of the £6.99 subscription that you didn't use. But you will only get the refund after the Apple One trial.
- During the Apple One trial period, you will not get free Apple Arcade service. Because you already had an Apple Arcade subscription, you will be charged for that, and I believe you will be charged at full price (not a discounted price that reflects the bundle discount).
Also, I pay £2.99 per month for 200GB of icloud but Apple One only comes with 50GB. Will I have to continue to pay the £2.99.
Assuming that you want 200 GB of storage, the answer is Yes – unless you'd rather pay more to get an Apple One Family subscription.
What happens to your iCloud storage when you sign up for Apple One - Apple Support
Will I get 250GB?
If you had both an Apple One Individual subscription, and a 200 GB iCloud+ subscription, I believe so.