Hi Bill. I did my shed in the following way.
1 Line the whole of the inside with breathable roofing felt using a staple gun.
2 Line the walls an doors with 4″ roofing felt between the studding using string stapled across ladder-wise to stop it flopping down.
3 Then line the walls all over with 12mm sterling/strand board (OSB) or chipboard. This enables you to put in a nail or screw ANYWHERE, and gives extra insulation.
4 Fix up sheets of 50mm Kingspan foam insulation board into the roof spaces, and onto the doors, screwing through into the purlins with long screws and 3-4″ square “washers”of boarding from your walling offcuts, to stop the screw heads pulling through.
5 Install a dehumidifier, switch it on and leave it on PERMANENTLY. At first you will have to empty it frequently but as the timber dries out this will become less frequent. I only have to do it twice a week in the wettest weather. Be sure to buy one that is manually adjustable and switches on and off automatically. Once “settled in” it will use very little power.
5 Install whatever heating you can afford, but ensure that the temperature inside is ALWAYS HIGHER than outside.
Apart from being warm whilst in the workshop, the “warmer in than out” factor eliminates THE GREAT ENEMY namely,—- CONDENSATION !!!!!!!!!!!!!!!! I have had unprotected bright-machined surfaces around for more than 3 years without ANY rust whatsoever, the investment has paid off many times over in saved effort and “rust-tears” !!
6 Thicker insulation is even better and saves on heating.
Good luck, Mike