Thanks, I didn't know there was a dedicated bug reporting portal. I filed a bug report there & I will also be downgrading.

Same here in Xcode 14.2: Xcode starts to show the error "cannot find XCUIApplication in scope" in UI test files, even though the tests can build and succeed. Clearing build folder (cmd + shift + k), quitting Xcode (cmd + q), restarting Xcode, and finally clearing folder again helps. Very disturbing to workflow though.

Related issue here, but then with attached peer macros not expanding as expected. Opened a new issue here: https://github.com/apple/swift/issues/70886

same problem here