[Unreal 5.8] - First-Person Self-Shadowing does not render with Megalights

General Issues and Bug Reporting (Unreal Engine)
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Summary

[Unreal 5.8] - First-Person self-shadowing breaks in 5.8 when megalights are enabled, shadows are no longer rendered and it seems that first-person primitive shadows are rendered in world space instead.

What Type of Bug are you experiencing?

Rendering (Graphics / Niagara)

Steps to Reproduce

  1. Create a first person template project (with Shooter)
  2. Enable Megalights
  3. Enable firstperson shadows (r.FirstPerson.SelfShadow 1)
  4. Enable for all lights (r.FirstPerson.SelfShadow.LightTypes 2 )

For better visibility remove the directional light and place a big pointlight in the shooter level.

Expected Result

As in 5.7.4: the weapon and hands will keep being shadowed properly.

Observed Result

The shadows aren’t rendered anymore, and instead the first person primitives get world-space shadows.
This happens in all projects with 5.8 as far as I can tell.

Affects Versions

5.8

Platform(s)

Windows

Video

5.7.4 (Correct) https://www.youtube.com/watch?v=pDO_fE-IJrA
5.8 (Bug) https://www.youtube.com/watch?v=GxszX7Gi9eo

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The status of UE-386333 changed to ‘Needs Triage’. We are routing this to the appropriate team for investigation.