Unable to edit Files Markup text boxes with Magic Keyboard

It just happened recently that I am unable to edit Files Markup text boxes with the Magic Keyboard.

The keyboard works fine in all the other applications but doesn't seem to work with text boxes in Files Markup. Same situation happens in Photos Markup as well.

However when I detach the iPad from the keyboard, I am able to edit the text boxes with the on screen keyboard.

I've tried force restarts, detaching & re-attaching the iPad from the keyboard, deleting and re-downloading Files, enabling Assistive Touch & re-enabling Assistive Touch and nothing seems to work.

Not sure if this could be due to the latest iPadOS update?

Here's my specs:

• 11-inch iPad Pro (4th Gen)
• Magic Keyboard for 11-inch iPad Pro (4th Gen)
• iPadOS 16.1.1

Hope someone out there's having the same issue and may be able to offer a solution.