Hi,
I, too, was confused by this. At first I thought this was a problem just with my iPhone, but then I found the following Reddit post, https://www.reddit.com/r/iOSBeta/comments/vljyq9/an_exhaustive_list_of_all_bugs_in_ios_16_ios_16/ .
Clearly it is a part of the update, however it is unclear to me from the Reddit post if this is a bug or an intentional feature, and whether or not Apple will change it in a future update. Then again, it does appear in said Reddit post, which is titled "An Exhaustive List of All Bugs in iOS 16 (iOS 16 DB2 20A5303i)", so it stands to reason it is a bug.
Added is a screenshot of the mention of this issue in the post.
