Can't scroll past a video with playsinline attribute inside an iframe [Safari iOS 17.0.3]

I'm loading a page inside an iframe. The page contains a video with the playsinline attribute. The video is completely unresponsive to touch events, meaning if it fills up the screen I can't scroll past it, thus breaking the page.

Note the video also has autoplay, loop and muted attributes but these did not cause scrolling issues; only playsinline causes the break.

Myself and another tester are running Safari on an iPhone 14 with iOS 17.0.3 and it's broken for both of us. Confirmed with 2 additional testers there is no issue with iPhones running iOS 16.6.

Test case: https://codepen.io/gem0303/pen/qBgEeaG

Repro steps:

1. Load in Safari on an iPhone with iOS 17.0.3
2. Tap and drag on the white background and dummy scrolling text -- works fine.
3. Tap and drag on the cat video -- scrolling is impossible.