I just got it working by rebooting my Mac!

Since speaking with Apple through my bug report, I’ve found a pattern. It happens after my Bot Integration finishes. Im hoping that as I’ve had dialogue through my bug report that they’ll be able to fix it. I suggest you add a bug report yourself and reference mine: FB12001344

Thank you very much for the update. I'll certainly report that back to them.

12.3.1 on both an i7 and an M1