Yes, the latest patch broke this (and other things) on console and we keep hoping that ZOS will acknowledge it better than they already have.
You can actually pull things from your craft bag. When you try to scroll down, the visual doesn't look like it moves, but it does. Example: go to craft bag, then click down a few times on your joystick or directional button. Then, click L1 to go back to inventory screen. Click R1 again to go back to craft bag and you should now see that your highlighted area has moved down the number of clicks you had clicked down.
You can also type in what you want to retrieve by typing it into the search box in your craft bag.
I do agree that it is a pain and it is ridiculous that they don't seem in a hurry to fix a part of their PAID product from ESO+, but what I described above is a work-around for you to pull out of the craft bag what you need to.
PS5 NA. GM of The PTK's - a free trading guild (CP 500+). Also a werewolf, bites are free when they're available. PSN = DragonRacer13
We are aware of an issue where the Craft Bag menu does not allow you to scroll through to see all items available. This will be fixed in a future update, in the meantime you may use the Search option to review what items are in the Craft Bag. Further details can be found here.