@nickradar.
Went for a drive now with iOS 16.4 public and for me it all works 100% unless I'm severely overlooking something. I do have showsBackgroundLocationIndicator = true on the location manager that records a track. I don't have it on the location manager that listens for regions (iBeacons), but I do call startUpdatingLocation() on a region location manager before handing it over to the track location manager with showsBackgroundLocationIndicator = true, otherwise my track recording location manager would not start/stay recording in the background, I thought it was iOS specific - it might be iOS 16.4 specific then.
I have competitor apps installed for the automatic mileage tracking, and 2 of 5 (all that really track) recorded now something like:
That would correspond to points in the significant location updates, maybe. No recording in between.
That's going to be interesting.
One more thing, on significant location events I do ask for the background time extension. Not sure that plays any role, I ask due to other things, but also start a probing location manager that has showsBackgroundLocationIndicator = false and it works. Hope this will not give Apple any wrong ideas :).