I have contacted Apple for the same issue where when I ask Siri to control an electrical outlet/plug or smart thermostat or smart lights, it said something in line where there are no devices and I need to setup devices.
I have learned that this issue is not related to the 16.3 update but it is a bug in Homekit app that they are working to fix and release a new version for a couple of weeks now (since the start of 2023).
It looks like Homepod update somehow refreshes something in Homekit where the buggy code gets executed.
They have provided me a workaround and it worked:
I have been asked to create a new room in Homekit called "Test". (Name does not matter)
Then power cycle (off/on) one of my Homepods. (you might even not need to powercycle)
Then everything started working again.
I was told that if it didn't work for a specific Homepod, I need to do a power cycle on it.
I hope this helps others