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It seems that something I've used thousands of times is "broken" in TextPad version 8.9.0 - the Insert File function.

Using Ctrl+Shift+V, or from the menu - Edit, Insert, Files - after selecting the file I click "Open" but nothing happens.

Is this a known 'bug'?

I don't know if it's a known bug, but I can reproduce it too. Nothing gets inserted after selecting a file.

Agreed. Nothing happens.

For the time being, this can be worked around by selecting anything other than the default encoding on the Open File dialog box.

Thank you.

It works, but hopefully there will be a permanent fix soon, rather than just a workaround.