The icons on the desktop display 8 inches apart at the top of the monitor and you cannot drag them closer together or down the screen. Sometimes they just disappear.
My computer has 4 large Dell UP3216Q monitors. Everything has been working fine for more than a year. Then I replaced one monitor with a Dell 4924DW (49-inch diagonal, 13.25 vertical). Once I got all the hardware rearranged and reconnected this icon problem surfaced. This problem shows up on all four monitors.
I spent an hour with a very good Dell Technical Support person. She had never seen anything like this. She updated all drivers and software. Ultimately, she got the icons to display 2 inches apart along the top of the monitor. I do not know specifically what caused this improvement. But the icons still cannot be dragged down the screen. She passed me on to Microsoft support who tried many things but concluded we could either reload windows or ask for Community input.
Based on Community discussion by others, I deleted all the IconCache files successfully and reboot the computer. New IconCache files were created with the then current time stamp. But this did not fix the problem.
Towards the end of all this, I noted that the: Settings, Personalization, Themes, “Desktop Icons Settings” window is not working properly. Even when I have no icons on my desktop, the “Desktop Icon Settings” window shows: “This PC”, “Peter Ward” folder, Network, “Recycle Bin (full)”, “Recycle Bin (empty)” with a lot of white space (blank area) so you have to scroll down to see these few icons.
If I check the box, for example “Control Panel”, and then Apply, the “Control Panel” icon shows up on my Desktop but not in the “Desktop Icons Settings” window as it does on my other Windows-11 laptop and desktop computers. If I uncheck that box “Control Panel” and click Apply, the “Control Panel” icon disappears from the desktop. If I manually add some new icon to my Desktop, it shows up on the desktop but not in the “Desktop Icons Settings” window. Clearly the “Desktop Icons Settings” window is not working right.