Welcome, ultra50, to Apple Support Communities!
Those of us, here on Apple Support Communities, that actually took the time (a month or two, starting in September) to understand the root causes of this issue are all in agreement:
The answer, as I, and others, have posted for months, here and within previous Discussions on this issue, are trifold:
- Apple Mail is, and always has been, «send[ing] emails … where the photos are … attachments, like how it [has always] be[en] for years», even at those times, through the years, when this Outlook issue surfaced with previous iOS versions.
- As far as getting your Outlook (and Outlook derived) email clients to allow you, the user, to perform bulk attachment operations (such as bulk-saves), that is not something Apple can actually fix. Y’all must contact the responsible company, in order to have that fixed. (Your feedback matters to Microsoft)
- Anything else is but a fragile workaround, subject to being easily broken by any tiny changes in the web of interactions involved in transferring emails. (This is how this issue came up with the change to iOS 14, as well as many other times, in the past years, with earlier iOS versions.)
I realize this answer is not what many want to hear (much like some other answers people receive, here, on Apple Support Communities).
Now. All that being said, there are some workarounds that have been shared, here, and in related Discussions.
Unfortunately, all such are but fragile workarounds, as per item 3, above.
Additionally, y’all should always feel free to provide your Feedback to Apple through their provided Feedback Mechanisms: Product Feedback - Apple.
(Be aware that Feedback that tries to claim that the problem is with Apple Mail “embedding” photos/images/pictures/etc., rather that “attaching” them, will likely result in something like the following “response” [which will never get back to you, unfortunately] from the responsible Apple Software Programming supervisor: “Apple Mail already sends, and always has sent all files as attachments. NEXT!”
That’s why I have been trying to educate people on the realities, so y’all can make better informed decisions, along with where, with whom, and what sort of feedback may be best to lodge.
However. As always, what you believe and what you do is up to you.)