icloud photos not syncing

So i've just moved to a new iphone 11 - 128gb. I take a tonne of photos and have something like 140gb of photos all of which are saved on a 2TB icloud storage. However after clicking optimise photos, it seems that the entire hard drive of the iphone is flooded with photos with no room for anything else.

I am not sure if icloud is stuck or something as under 'Recommendations', the icloud photos seems to be not moving. It has been at 1% for an entire day. Our wifi is pretty decent so I am not sure this is the issue.

Any ideas anyone? Much appreciated.