This is a regression from 5.0.3 tested in the following streams:
|//UE5/Release-5.0||20979098||Did not reproduce|
The source texture lighting appears to be rendering incorrectly when compared to the previous release.
The lights are clear and match the source texture.
The lights are blurry and diffused.
There's no existing public thread on this issue, so head over to Questions & Answers just mention UE-180145 in the post.