Cannot reduce the width more of the tray in the side panel like in 2022 version.
This is the tray at the right edge of the screen with the minimal size:
In 2022 you could resize it more to the edge to make it narrower.
Is this a known bug?
version 23.1.319
Yes, it is known and others have also complained that the minimum is too wide.
The migration to the Qt GUI framework is ongoing. Hiccups like this will occur.