Allow ingame graphics mode switching does not work properly

The Allow ingame graphics mode switching switch in the video settings does not work properly. You must still exit the world to change to Vibrant Visuals, but can turn it off in the world.

Steps to reproduce:

Open a world in Fancy graphics

Attempt to turn on Vibrant Visuals

Observed Result:

The Vibrant Visuals button is greyed out

Expected Result:

You can change between the graphics modes as usual even when Allow ingame graphics mode switching is on.

Notes:

This worked fine before the most recent few updates

Graphics card: Nvidia geforce rtx 2050